JP Morgan Raises PT On Estee Lauder

JP Morgan has published a research report on Estee Lauder EL after the company reported strong FQ1 earnings results including +13% organic growth. In the report, JP Morgan writes "EL's LC sales were up 14%, above our +11-12% forecast and their guidance range of +11-13%. Heading into the quarter we were a bit skeptical about the company's ability to grow this fast, especially since they were guiding for acceleration in trends on a much more difficult comp. With such strong performance this quarter, it is pretty clear Estée is gaining share and that their focus on innovation, efficient advertising, and expansion of high touch services are bearing fruit. Each of EL's major geographic divisions grew double-digits, something we have not seen in recent history; with better than expected LC sales in the Americas and Europe, Middle East, and Africa." JP Morgan maintains its Neutral and has raised the price target from $70 to $80. Estee Lauder closed Friday at $71.17.