Is Estée Lauder Stock Underperforming the S&P 500?

Company Overview - The Estée Lauder Companies Inc. (EL) has a market cap of $31.9 billion and is a global leader in the beauty industry, offering a wide range of products including skin care, makeup, fragrance, and hair care under brands like Estée Lauder, Clinique, and M·A·C [1] - EL is classified as a "large-cap" stock, with products distributed globally through various channels including department stores, specialty retailers, and online platforms [2] Stock Performance - EL shares have decreased 14.3% from their 52-week high of $103.44, but have increased 28.6% over the past three months, outperforming the S&P 500 Index's gain of 8.4% during the same period [3] - Year-to-date, EL stock is up 18.3%, surpassing the S&P 500's return of 10.7%, but has only risen 2.1% over the past 52 weeks, lagging behind the S&P 500's 19% surge [4] Financial Performance - In Q4 2025, Estée Lauder reported an adjusted EPS of $0.09 and revenue of $3.4 billion, which was better than expected; however, shares fell 3.7% due to a full-year adjusted EPS forecast of $1.90 - $2.10 that was below analysts' expectations [5] - Management indicated that a $100 million tariff-related impact and elevated global trade costs would negatively affect margins, alongside weaknesses in key markets such as the U.S., China, and Europe [5] Competitive Landscape - Rival Church & Dwight Co., Inc. (CHD) has underperformed compared to EL, with CHD stock declining 9.4% year-to-date and 10.1% over the past 52 weeks [6] - Despite recent underperformance, analysts maintain a moderately optimistic outlook on Estée Lauder, with a consensus rating of "Moderate Buy" and a mean price target of $91.43, representing a 3.1% premium to current levels [6]