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Here's Why Estee Lauder (EL) Gained But Lagged the Market Today
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Estee Lauder (EL - Free Report) closed the most recent trading day at $148.98, moving +1.06% from the previous trading session. This move lagged the S&P 500's daily gain of 1.2%. Meanwhile, the Dow gained 0.69%, and the Nasdaq, a tech-heavy index, added 1.59%.
Shares of the beauty products company witnessed a gain of 5.93% over the previous month, beating the performance of the Consumer Staples sector with its loss of 1.51% and the S&P 500's loss of 4.16%.
Market participants will be closely following the financial results of Estee Lauder in its upcoming release. The company plans to announce its earnings on May 1, 2024. The company is expected to report EPS of $0.48, up 2.13% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $3.93 billion, up 4.73% from the prior-year quarter.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $2.23 per share and a revenue of $15.83 billion, representing changes of -35.55% and -0.49%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for Estee Lauder. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable 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. Within the past 30 days, our consensus EPS projection has moved 0.09% higher. Estee Lauder currently has a Zacks Rank of #3 (Hold).
Looking at valuation, Estee Lauder is presently trading at a Forward P/E ratio of 66.1. This indicates a premium in contrast to its industry's Forward P/E of 25.12.
Also, we should mention that EL has a PEG ratio of 3.86. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As of the close of trade yesterday, the Cosmetics industry held an average PEG ratio of 1.53.
The Cosmetics industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 160, which puts it in the bottom 37% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Here's Why Estee Lauder (EL) Gained But Lagged the Market Today
Estee Lauder (EL - Free Report) closed the most recent trading day at $148.98, moving +1.06% from the previous trading session. This move lagged the S&P 500's daily gain of 1.2%. Meanwhile, the Dow gained 0.69%, and the Nasdaq, a tech-heavy index, added 1.59%.
Shares of the beauty products company witnessed a gain of 5.93% over the previous month, beating the performance of the Consumer Staples sector with its loss of 1.51% and the S&P 500's loss of 4.16%.
Market participants will be closely following the financial results of Estee Lauder in its upcoming release. The company plans to announce its earnings on May 1, 2024. The company is expected to report EPS of $0.48, up 2.13% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $3.93 billion, up 4.73% from the prior-year quarter.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $2.23 per share and a revenue of $15.83 billion, representing changes of -35.55% and -0.49%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for Estee Lauder. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable 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. Within the past 30 days, our consensus EPS projection has moved 0.09% higher. Estee Lauder currently has a Zacks Rank of #3 (Hold).
Looking at valuation, Estee Lauder is presently trading at a Forward P/E ratio of 66.1. This indicates a premium in contrast to its industry's Forward P/E of 25.12.
Also, we should mention that EL has a PEG ratio of 3.86. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As of the close of trade yesterday, the Cosmetics industry held an average PEG ratio of 1.53.
The Cosmetics industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 160, which puts it in the bottom 37% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.