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Estee Lauder (EL) Gains But Lags Market: What You Should Know
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Estee Lauder (EL - Free Report) closed the most recent trading day at $228.14, moving +0.91% from the previous trading session. This change lagged the S&P 500's 1.97% gain on the day. Elsewhere, the Dow gained 1.88%, while the tech-heavy Nasdaq added 0.25%.
Heading into today, shares of the beauty products company had lost 12.07% over the past month, lagging the Consumer Staples sector's loss of 8.57% and the S&P 500's loss of 9.93% in that time.
Investors will be hoping for strength from Estee Lauder as it approaches its next earnings release. The company is expected to report EPS of $1.33, down 29.63% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $4 billion, down 8.91% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $7.53 per share and revenue of $18.45 billion, which would represent changes of +4.01% and +4.02%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for Estee Lauder. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.22% higher within the past month. Estee Lauder is holding a Zacks Rank of #3 (Hold) right now.
Looking at its valuation, Estee Lauder is holding a Forward P/E ratio of 30.02. This valuation marks a premium compared to its industry's average Forward P/E of 28.51.
Meanwhile, EL's PEG ratio is currently 3.02. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. EL's industry had an average PEG ratio of 1.96 as of yesterday's close.
The Cosmetics industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 142, which puts it in the bottom 44% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Estee Lauder (EL) Gains But Lags Market: What You Should Know
Estee Lauder (EL - Free Report) closed the most recent trading day at $228.14, moving +0.91% from the previous trading session. This change lagged the S&P 500's 1.97% gain on the day. Elsewhere, the Dow gained 1.88%, while the tech-heavy Nasdaq added 0.25%.
Heading into today, shares of the beauty products company had lost 12.07% over the past month, lagging the Consumer Staples sector's loss of 8.57% and the S&P 500's loss of 9.93% in that time.
Investors will be hoping for strength from Estee Lauder as it approaches its next earnings release. The company is expected to report EPS of $1.33, down 29.63% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $4 billion, down 8.91% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $7.53 per share and revenue of $18.45 billion, which would represent changes of +4.01% and +4.02%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for Estee Lauder. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.22% higher within the past month. Estee Lauder is holding a Zacks Rank of #3 (Hold) right now.
Looking at its valuation, Estee Lauder is holding a Forward P/E ratio of 30.02. This valuation marks a premium compared to its industry's average Forward P/E of 28.51.
Meanwhile, EL's PEG ratio is currently 3.02. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. EL's industry had an average PEG ratio of 1.96 as of yesterday's close.
The Cosmetics industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 142, which puts it in the bottom 44% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.