Estee Lauder Companies (NYSE:EL) Shares Gap Up Following Analyst Upgrade

Key Points

• Estee Lauder shares jumped after Citigroup raised its price target from $92 to $110 and reiterated a buy rating, helping the stock open well above its prior close.
• Other analysts were mixed but generally constructive: the consensus rating remains Moderate Buy, with an average price target of about $101.63.
• The company recently beat quarterly expectations, reporting $0.91 EPS on $3.71 billion in revenue, while also maintaining its FY2026 EPS guidance and paying a quarterly dividend of $0.35 per share.

The Estee Lauder Companies Inc. (NYSE:EL - Get Free Report)'s share price gapped up prior to trading on Friday after Citigroup raised their price target on the stock from $92.00 to $110.00. The stock had previously closed at $78.91, but opened at $88.96. Citigroup currently has a buy rating on the stock. Estee Lauder Companies shares last traded at $87.4980, with a volume of 1,655,350 shares changing hands.

A number of other equities research analysts have also recently issued reports on EL. JPMorgan Chase & Co. upped their price objective on shares of Estee Lauder Companies from $98.00 to $99.00 and gave the company an "overweight" rating in a research note on Monday, May 4th. Deutsche Bank Aktiengesellschaft cut their price objective on shares of Estee Lauder Companies from $124.00 to $108.00 and set a "buy" rating for the company in a research note on Monday, March 30th. TD Cowen cut their price objective on shares of Estee Lauder Companies from $130.00 to $115.00 and set a "hold" rating for the company in a research note on Monday, February 9th. UBS Group upped their price objective on shares of Estee Lauder Companies from $75.00 to $85.00 and gave the company a "neutral" rating in a research note on Monday, May 4th. Finally, Weiss Ratings cut shares of Estee Lauder Companies from a "sell (d+)" rating to a "sell (d)" rating in a research note on Monday, May 4th. Two investment analysts have rated the stock with a Strong Buy rating, nine have assigned a Buy rating, eight have issued a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat.com, Estee Lauder Companies has a consensus rating of "Moderate Buy" and an average price target of $101.63.

Trending Headlines about Estee Lauder Companies

Here are the key news stories impacting Estee Lauder Companies this week:

• Positive Sentiment: Estée Lauder and Puig terminated discussions on a potential business combination, which investors see as clearing uncertainty and letting the company refocus on its restructuring and margin recovery efforts.
• Positive Sentiment: Citigroup raised its price target on EL from $92 to $110 and kept a buy rating, signaling increased confidence in the stock’s upside potential.
• Neutral Sentiment: Recent reports also noted that Estée Lauder reiterated confidence in its “Beauty Reimagined” strategy, suggesting the company intends to continue its internal turnaround rather than pursue a large acquisition.

Institutional Investors Weigh In On Estee Lauder Companies

Several institutional investors have recently added to or reduced their stakes in the company. Aberdeen Group plc raised its holdings in Estee Lauder Companies by 13.4% in the 4th quarter. Aberdeen Group plc now owns 201,255 shares of the company's stock worth $21,075,000 after purchasing an additional 23,717 shares in the last quarter. Mirae Asset Global Investments Co. Ltd. raised its holdings in Estee Lauder Companies by 539.7% in the 3rd quarter. Mirae Asset Global Investments Co. Ltd. now owns 229,749 shares of the company's stock worth $20,245,000 after purchasing an additional 193,833 shares in the last quarter. Azzad Asset Management Inc. ADV raised its holdings in Estee Lauder Companies by 55.8% in the 3rd quarter. Azzad Asset Management Inc. ADV now owns 26,682 shares of the company's stock worth $2,351,000 after purchasing an additional 9,559 shares in the last quarter. Strs Ohio raised its holdings in Estee Lauder Companies by 53.0% in the 3rd quarter. Strs Ohio now owns 190,589 shares of the company's stock worth $16,795,000 after purchasing an additional 66,003 shares in the last quarter. Finally, HighTower Advisors LLC raised its holdings in Estee Lauder Companies by 44.5% in the 3rd quarter. HighTower Advisors LLC now owns 37,002 shares of the company's stock worth $3,261,000 after purchasing an additional 11,398 shares in the last quarter. Hedge funds and other institutional investors own 55.15% of the company's stock.

Estee Lauder Companies Stock Up 10.6%

The company has a current ratio of 1.27, a quick ratio of 0.94 and a debt-to-equity ratio of 1.71. The company's fifty day simple moving average is $77.98 and its 200 day simple moving average is $94.92. The firm has a market capitalization of $31.56 billion, a P/E ratio of -124.60, a price-to-earnings-growth ratio of 0.80 and a beta of 1.22.

Estee Lauder Companies (NYSE:EL - Get Free Report) last issued its quarterly earnings results on Friday, May 1st. The company reported $0.91 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.66 by $0.25. The company had revenue of $3.71 billion during the quarter, compared to analyst estimates of $3.69 billion. Estee Lauder Companies had a negative net margin of 1.67% and a positive return on equity of 20.66%. Estee Lauder Companies's quarterly revenue was up 4.6% compared to the same quarter last year. During the same period last year, the business earned $0.65 EPS. Estee Lauder Companies has set its FY 2026 guidance at 2.330-2.430 EPS. Research analysts expect that The Estee Lauder Companies Inc. will post 2.41 EPS for the current year.

Estee Lauder Companies Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Monday, June 15th. Shareholders of record on Friday, May 29th will be paid a dividend of $0.35 per share. This represents a $1.40 dividend on an annualized basis and a yield of 1.6%. The ex-dividend date is Friday, May 29th. Estee Lauder Companies's dividend payout ratio (DPR) is currently -200.00%.

Estee Lauder Companies Company Profile

Estée Lauder Companies Inc NYSE: EL is a global leader in prestige beauty that develops, manufactures and markets a broad portfolio of skincare, makeup, fragrance and hair care products. Founded in 1946 by Estée Lauder, the company has grown from a small family business into a multinational consumer-products enterprise headquartered in New York City. Its activities span product research and development, brand and product marketing, manufacturing and global distribution across multiple retail channels.

The company's portfolio includes a mix of legacy and prestige brands that target different consumer segments and price points, with well-known names such as Estée Lauder, Clinique, MAC, La Mer and Jo Malone among others.

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