Estee Lauder Companies (NYSE:EL) Downgraded by Wall Street Zen to Hold

Key Points

• Wall Street Zen downgraded Estée Lauder Companies to “Hold” from “Buy.” The broader analyst consensus is also “Hold,” with an average price target of $104.67.
• Estée Lauder reported quarterly EPS of $0.39, beating estimates of $0.32, while revenue rose 6.3% year over year to $3.64 billion.
• EL shares opened at $94.52, below the consensus price target, while insiders sold 75,105 shares worth approximately $7.42 million over the past 90 days.

Estee Lauder Companies (NYSE:EL - Get Free Report) was downgraded by equities research analysts at Wall Street Zen from a "buy" rating to a "hold" rating in a note issued to investors on Saturday, Wall Street Zen reports.

Several other equities analysts have also recently issued reports on the company. Piper Sandler boosted their target price on Estee Lauder Companies from $95.00 to $115.00 and gave the company an "overweight" rating in a research note on Thursday, August 20th. TD Cowen upped their price objective on shares of Estee Lauder Companies from $90.00 to $100.00 and gave the stock a "hold" rating in a report on Thursday, August 20th. Canaccord Genuity Group lifted their target price on shares of Estee Lauder Companies from $85.00 to $90.00 and gave the company a "hold" rating in a research note on Thursday, August 20th. Citigroup increased their price target on shares of Estee Lauder Companies from $110.00 to $115.00 and gave the stock a "buy" rating in a research note on Thursday, August 20th. Finally, Barclays lifted their price objective on Estee Lauder Companies from $80.00 to $97.00 and gave the company an "equal weight" rating in a research report on Friday, August 21st. Two analysts have rated the stock with a Strong Buy rating, eight have issued a Buy rating, twelve have assigned a Hold rating and two have assigned a Sell rating to the company. Based on data from MarketBeat.com, the company presently has a consensus rating of "Hold" and an average target price of $104.67.

Estee Lauder Companies Stock Performance

Shares of EL stock opened at $94.52 on Friday. The company has a market capitalization of $34.20 billion, a P/E ratio of 192.90, a PEG ratio of 1.11 and a beta of 1.28. Estee Lauder Companies has a fifty-two week low of $66.22 and a fifty-two week high of $121.64. The company has a debt-to-equity ratio of 1.79, a quick ratio of 0.90 and a current ratio of 1.22. The stock has a 50 day moving average price of $93.08 and a two-hundred day moving average price of $85.34.

Estee Lauder Companies (NYSE:EL - Get Free Report) last issued its earnings results on Wednesday, August 19th. The company reported $0.39 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.32 by $0.07. The firm had revenue of $3.64 billion for the quarter, compared to analysts' expectations of $3.55 billion. Estee Lauder Companies had a net margin of 1.21% and a return on equity of 23.52%. The business's revenue was up 6.3% on a year-over-year basis. During the same quarter last year, the business earned $0.09 earnings per share. Estee Lauder Companies has set its FY 2027 guidance at 3.100-3.350 EPS. Analysts expect that Estee Lauder Companies will post 3.3 earnings per share for the current year.

Insider Activity

In other news, Director Charlene Barshefsky sold 3,775 shares of the business's stock in a transaction that occurred on Wednesday, September 9th. The stock was sold at an average price of $98.82, for a total value of $373,045.50. Following the sale, the director directly owned 50,971 shares of the company's stock, valued at $5,036,954.22. The trade was a 6.90% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. Also, Director Paul Fribourg sold 58,000 shares of the firm's stock in a transaction that occurred on Monday, September 14th. The shares were sold at an average price of $98.17, for a total value of $5,693,860.00. Following the transaction, the director directly owned 417,300 shares of the company's stock, valued at approximately $40,966,341. This trade represents a 12.20% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last ninety days, insiders sold 75,105 shares of company stock worth $7,423,185. Insiders own 13.05% of the company's stock.

Hedge Funds Weigh In On Estee Lauder Companies

Hedge funds have recently bought and sold shares of the company. QRG Capital Management Inc. increased its stake in Estee Lauder Companies by 3.0% during the 2nd quarter. QRG Capital Management Inc. now owns 4,569 shares of the company's stock valued at $361,000 after purchasing an additional 135 shares in the last quarter. Tidal Investments LLC lifted its stake in shares of Estee Lauder Companies by 24.9% in the second quarter. Tidal Investments LLC now owns 1,137,758 shares of the company's stock worth $89,826,000 after buying an additional 226,888 shares in the last quarter. Engineers Gate Manager LP grew its holdings in shares of Estee Lauder Companies by 104.0% during the second quarter. Engineers Gate Manager LP now owns 77,397 shares of the company's stock valued at $6,110,000 after buying an additional 39,457 shares during the last quarter. Cidel Asset Management Inc. purchased a new stake in shares of Estee Lauder Companies during the second quarter valued at approximately $205,000. Finally, Integrated Wealth Concepts LLC increased its position in shares of Estee Lauder Companies by 348.3% during the second quarter. Integrated Wealth Concepts LLC now owns 14,791 shares of the company's stock valued at $1,168,000 after acquiring an additional 11,492 shares in the last quarter. Institutional investors own 55.15% of the company's stock.

About Estee Lauder Companies

The Estée Lauder Companies Inc is a global beauty company that develops, manufactures and markets prestige skincare, makeup, fragrance and hair-care products. Its portfolio includes Estée Lauder, Clinique, M·A·C, Bobbi Brown Cosmetics, La Mer, Jo Malone London, Aveda, Tom Ford Beauty and The Ordinary, among other brands.

Founded in 1946 by Estée and Joseph Lauder, the company began with four skincare products and has expanded into a broad international beauty business. Its products are sold through department and specialty stores, freestanding stores, e-commerce platforms, travel retail locations and other distribution channels.

Estée Lauder Companies serves consumers in markets around the world, including North America, Europe, Asia-Pacific, Latin America and the Middle East and Africa.

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