Morningstar Investment Management LLC Sells 61,936 Shares of The Estee Lauder Companies Inc. $EL

Key Points

• Morningstar Investment Management cut its Estee Lauder stake by 62.7% in the fourth quarter, selling 61,936 shares and ending with 36,811 shares worth about $3.86 million.
• Analysts remain generally constructive on the stock: Citigroup raised its price target to $110 and kept a buy rating, while MarketBeat data shows a Moderate Buy consensus with an average target of $101.63.
• Estee Lauder recently beat earnings expectations, reporting $0.91 EPS versus $0.66 expected and revenue growth of 4.6% year over year; the company also declared a quarterly dividend of $0.35 per share.

Morningstar Investment Management LLC decreased its holdings in The Estee Lauder Companies Inc. (NYSE:EL - Free Report) by 62.7% during the 4th quarter, according to its most recent disclosure with the Securities & Exchange Commission. The firm owned 36,811 shares of the company's stock after selling 61,936 shares during the period. Morningstar Investment Management LLC's holdings in Estee Lauder Companies were worth $3,855,000 at the end of the most recent quarter.

Several other institutional investors and hedge funds have also recently bought and sold shares of the business. Hantz Financial Services Inc. raised its stake in Estee Lauder Companies by 144.9% in the fourth quarter. Hantz Financial Services Inc. now owns 911 shares of the company's stock valued at $95,000 after buying an additional 539 shares during the period. Prospera Financial Services Inc raised its stake in Estee Lauder Companies by 3.2% in the fourth quarter. Prospera Financial Services Inc now owns 4,823 shares of the company's stock valued at $505,000 after buying an additional 151 shares during the period. Coldstream Capital Management Inc. raised its stake in Estee Lauder Companies by 4.8% in the fourth quarter. Coldstream Capital Management Inc. now owns 6,593 shares of the company's stock valued at $690,000 after buying an additional 302 shares during the period. Jefferies Financial Group Inc. bought a new stake in Estee Lauder Companies in the fourth quarter valued at approximately $1,020,000. Finally, Global Retirement Partners LLC raised its stake in Estee Lauder Companies by 92.4% in the fourth quarter. Global Retirement Partners LLC now owns 1,410 shares of the company's stock valued at $148,000 after buying an additional 677 shares during the period. Institutional investors own 55.15% of the company's stock.

Analyst Ratings Changes

EL has been the topic of several research analyst reports. Weiss Ratings lowered Estee Lauder Companies from a "sell (d+)" rating to a "sell (d)" rating in a research note on Monday, May 4th. Citigroup upped their price objective on Estee Lauder Companies from $92.00 to $110.00 and gave the company a "buy" rating in a research note on Friday. Wells Fargo & Company upped their price objective on Estee Lauder Companies from $75.00 to $85.00 and gave the company an "equal weight" rating in a research note on Monday, May 4th. UBS Group upped their price objective on 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, Barclays upped their price objective on Estee Lauder Companies from $72.00 to $75.00 and gave the company an "equal weight" rating in a research note on Tuesday, May 5th. Two research 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 company. According to data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $101.63.

Estee Lauder Companies Price Performance

Estee Lauder Companies stock opened at $88.15 on Monday. The Estee Lauder Companies Inc. has a 12 month low of $62.57 and a 12 month high of $121.64. The stock's 50 day moving average is $77.91 and its 200-day moving average is $94.88. 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 has a market capitalization of $31.89 billion, a price-to-earnings ratio of -125.93, a PEG ratio of 0.91 and a beta of 1.22.

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

Estee Lauder Companies Announces Dividend

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

Trending Headlines about Estee Lauder Companies

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

• Positive Sentiment: Estée Lauder ended merger discussions with Puig, which the market is treating as a relief event because it eliminates uncertainty around a complex transaction and lets the company focus on its own recovery plan.
• Positive Sentiment: Citigroup raised its price target on EL to $110 from $92 and reiterated a buy rating, reinforcing optimism that the stock can still move higher from current levels.
• Neutral Sentiment: Investors are also watching the company ahead of the Morgan Stanley Luxury Conference, where management commentary could shape sentiment on valuation and the pace of the turnaround.
• Neutral Sentiment: Recent articles note that the stock’s jump may also reflect short covering after prior weakness tied to merger speculation and uneven prestige beauty demand.
• Negative Sentiment: The failed Puig deal means Estée Lauder will not gain the scale benefits that a combination could have provided, and it removes the possibility of a transformative premium-beauty merger.

About Estee Lauder Companies

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.