Meridith Webster, Vice President of the Estee Lauder Companies Inc. (NYSE:EL), sold 5,430 shares of the company’s stock on November 18, 2023. The shares were sold at an average price of $87.84, resulting in a total transaction value of $476,971.20. This transaction was reported in a filing with the Securities and Exchange Commission (SEC).
Following the sale, shares of Estee Lauder Companies experienced a decline of 1.6% during midday trading on November 19, falling to $86.64. A total of 1,429,047 shares exchanged hands, significantly below the average trading volume of 3,995,469 shares. The company’s market capitalization stands at approximately $31.22 billion, with a price-to-earnings (P/E) ratio of -27.53.
Financial Performance and Market Insights
Estee Lauder recently announced its quarterly earnings on October 30, 2023, reporting earnings per share (EPS) of $0.32. This performance exceeded the consensus estimate of $0.15 by $0.17. The company had revenue of $3.48 billion for the quarter, surpassing analyst projections of $3.38 billion and reflecting a year-over-year increase of 3.6%.
In terms of financial health, Estee Lauder’s recent figures show a negative net margin of 7.91% and a return on equity of 12.37%. The company has guided for fiscal year 2026 EPS between $1.90 and $2.10. Analysts predict an average EPS of $1.36 for the current fiscal year.
Institutional Investments and Analyst Ratings
Several institutional investors adjusted their stakes in Estee Lauder recently. Vanguard Group Inc. increased its holdings by 1.3%, now owning 26,904,441 shares valued at $2.17 billion after acquiring an additional 341,235 shares. State Street Corp also grew its position by 2.4%, with a total of 11,118,587 shares worth $979.77 million.
In terms of analyst perspectives, various brokerages have revised their price targets for Estee Lauder. Wells Fargo & Company recently raised its target from $90.00 to $95.00, maintaining an “equal weight” rating. Goldman Sachs upgraded its rating from “neutral” to “buy,” increasing its target price from $76.00 to $115.00. Telsey Advisory Group lifted its target from $99.00 to $105.00, while JPMorgan Chase & Co. raised its price objective from $114.00 to $116.00.
Overall, Estee Lauder Companies holds a consensus rating of “Moderate Buy,” with one analyst issuing a “Strong Buy” rating, ten assigning a “Buy,” ten a “Hold,” and one a “Sell” rating. The average target price among analysts currently sits at $95.65.
Company Overview
The Estee Lauder Companies Inc. specializes in manufacturing, marketing, and selling a diverse range of skin care, makeup, fragrance, and hair care products globally. Its product offerings include moisturizers, serums, cleansers, and a wide variety of makeup products, illustrating the company’s extensive portfolio in the beauty industry. As it navigates market challenges, Estee Lauder continues to adapt and respond to consumer needs, positioning itself for future growth.
