What 5 Analyst Ratings Have To Say About Estee Lauder Cos

Across the recent three months, 5 analysts have shared their insights on Estee Lauder Cos EL, expressing a variety of opinions spanning from bullish to bearish.

The following table encapsulates their recent ratings, offering a glimpse into the evolving sentiments over the past 30 days and comparing them to the preceding months.

In the assessment of 12-month price targets, analysts unveil insights for Estee Lauder Cos, presenting an average target of $153.8, a high estimate of $180.00, and a low estimate of $121.00. This current average reflects an increase of 28.17% from the previous average price target of $120.00.

Breaking Down Analyst Ratings: A Detailed Examination

The analysis of recent analyst actions sheds light on the perception of Estee Lauder Cos by financial experts. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Estee Lauder Cos. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Unveiling insights, analysts deliver qualitative insights into stock performance, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Estee Lauder Cos compared to the broader market.
• Price Targets: Analysts set price targets as an estimate of a stock's future value. Comparing the current and prior price targets provides insight into how analysts' expectations have changed over time. This information can be valuable for investors seeking to understand consensus views on the stock's potential future performance.

Navigating through these analyst evaluations alongside other financial indicators can contribute to a holistic understanding of Estee Lauder Cos's market standing. Stay informed and make data-driven decisions with our Ratings Table.

Stay up to date on Estee Lauder Cos analyst ratings.

Delving into Estee Lauder Cos's Background

Estee Lauder is a leader in the global prestige beauty market, participating across skin care (56% of 2022 sales), makeup (26%), fragrance (14%), and hair care (4%) categories, with top-selling brands such as Estee Lauder, Clinique, M.A.C, La Mer, Jo Malone London, Aveda, Bobbi Brown, and Origins. The firm operates in more than 150 countries, generating 26% of revenue from the Americas, 43% from Europe, the Middle East and Africa (including travel retail), and 31% from Asia Pacific. Estee Lauder sells its products through department stores, travel retail, specialty multibrand beauty stores, brand-dedicated freestanding stores, e-commerce, salons/spas, and perfumeries.

Key Indicators: Estee Lauder Cos's Financial Health

Market Capitalization Analysis: The company's market capitalization surpasses industry averages, showcasing a dominant size relative to peers and suggesting a strong market position.

Negative Revenue Trend: Examining Estee Lauder Cos's financials over 3 months reveals challenges. As of 30 September, 2023, the company experienced a decline of approximately -10.48% in revenue growth, reflecting a decrease in top-line earnings. When compared to others in the Consumer Staples sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of 0.88%, the company showcases strong profitability and effective cost control.

Return on Equity (ROE): Estee Lauder Cos's ROE excels beyond industry benchmarks, reaching 0.57%. This signifies robust financial management and efficient use of shareholder equity capital.

Return on Assets (ROA): Estee Lauder Cos's financial strength is reflected in its exceptional ROA, which exceeds industry averages. With a remarkable ROA of 0.13%, the company showcases efficient use of assets and strong financial health.

Debt Management: With a high debt-to-equity ratio of 1.9, Estee Lauder Cos faces challenges in effectively managing its debt levels, indicating potential financial strain.

Analyst Ratings: Simplified

Analysts are specialists within banking and financial systems that typically report for specific stocks or within defined sectors. These people research company financial statements, sit in conference calls and meetings, and speak with relevant insiders to determine what are known as analyst ratings for stocks. Typically, analysts will rate each stock once a quarter.

Some analysts will also offer forecasts for metrics like growth estimates, earnings, and revenue to provide further guidance on stocks. Investors who use analyst ratings should note that this specialized advice comes from humans and may be subject to error.

This article was generated by Benzinga's automated content engine and reviewed by an editor.