Estee Lauder (EL) Nosedives 19% on Weak Outlook

Group 1 - Estee Lauder Companies Inc. experienced a significant decline in share price, dropping by 19.19% to $96.66 due to a weak business outlook for fiscal year 2026 [1] - The company anticipates a $100 million impact on full-year profitability from tariffs, particularly affecting operations in Switzerland, Canada, China, Mexico, Europe, and Japan [2] - Despite the projected tariff impact, Estee Lauder raised its fiscal 2026 full-year outlook, targeting organic sales growth of 1 to 3% and an adjusted operating margin of 9.8% to 10.2% [3] Group 2 - In the second quarter of fiscal year 2026, Estee Lauder reported a net income of $162 million, a turnaround from a net loss of $590 million in the same period last year [4] - Net sales increased by 6% to $4.2 billion compared to $4 billion year-on-year [4] - The company is undergoing a corporate restructuring that will result in layoffs of between 5,800 and 7,000 employees [3]