Riding on high growth momentum in the prestige beauty segment, consistent double digit growth rates and expanding market share despite weak macroeconomic conditions, Estée Lauder‘s (NYSE:EL) stock has swelled by more than 40% this year. The stock jumped 18% within a day of announcing its latest quarterly results and has gained 18% within the last one month. Estee Lauder, one of the leading cosmetics and beauty care players globally, competes with others such as Revlon (NYSE:REV), L’Oreal (PINK:LRLCY) and Avon Products (NYSE:AVP).
Stock Bulls Post Strong Earnings and Analyst Upgrades
The stock jumped 18% within a day of announcing its latest quarterly results last month posting 18% sales growth, market share expansion and strong business outlook. With excellent international growth, Estee Lauder also exceeded its operating margins target of 12-13% by fiscal 2013, two years in advance and now has a new 15% operating margin target. The stock has gained more than 12% over the last month, having been upgraded by analysts almost across the board after its excellent earnings run with a $135 price target and “buy” rating by Citigroup and UBS and $130 price target by JPMorgan Chase.
- Estee Lauder’s Dynamic Strategy Of Growth Based Investment Allocation Led To An Impressive Second Quarter Fiscal 2016
- Estee Lauder Is Addressing Its Pain Points Prudently And Its Q2 FY2016 Earnings Might Show The Benefits
- Weekly Beauty Notes: L’Oréal And Estee Lauder
- A New Line For Young Consumers: Can This Strategy Drive Growth For Estee Lauder?
- Some Recent Developments In The Cosmetics Arena: Estee Lauder, L’Oreal, Avon Products
- What Is Estee Lauder’s Fundamental Value On The Basis Of Its Forecasted 2015 Results?
We have a $116 Trefis price estimate for Estee Lauder stock, almost in line with the market price.