Forecast Of The Day: Estee Lauder’s Makeup Revenue
What?
Estee Lauder’s (NYSE:EL) makeup revenue declined from around $5.9 billion in 2019 to about $4.2 billion in 2020. Trefis expects the metric to decline further to about $4.2 billion in 2021 although it should recover to around $4.85 billion in 2022.
Why?
- Estee Lauder Stock: Up 1.85x Since 2018 Due To Rising Investor Expectations
- Down 4% Last Week, Will The Tides Turn For Estee Lauder Stock Soon?
- Here’s Why Estee Lauder Stock Has Rallied More Than 2x Since Late 2018
- Forecast Of The Day: Estee Lauder Skin Care Revenues
- After Strong Post-Earnings Rally, Estee Lauder Stock Looks Poised For Further Gains
- Here’s Why Estee Lauder Stock Looks Like Your Best Cosmetics Bet
Makeup sales over 2020 were impacted by the Covid-19 pandemic and the stay-at-home trend, and we expect them to remain under pressure in 2021 as well. However, sales should see a recovery over 2022.
So What?
EL stock has been a strong performer, rising by about 52% over the last 12 months, driven by a solid performance of its skincare segment through the pandemic. However, we think the stock still has a little more room to run as its makeup, fragrance, and haircare divisions stage a recovery. We value EL at $361 per share, a premium of 10% over the market price.
See Our Complete Analysis For Estee Lauder
