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0 0.000848626286199348 0.00519889678582807 0.00774371486156788 -0.00933488914819132 0.0217990877267424 -0.00371274000212151 -0.0100243980057282
Stock impact report

Estee Lauder: Valuation Premium Is Unjustified [Seeking Alpha]

Estee Lauder Companies, Inc. (The) (EL) 
Last estee lauder companies, inc. (the) earnings: 5/1 06:45 am Check Earnings Report
US:NYSE Investor Relations: elcompanies.com/investors
Company Research Source: Seeking Alpha
EL's recovery is underway, with margin expansion and strong China growth, yet organic growth remains sub-4% and U.S. sales are flat. Restructuring is progressing, yielding cost savings and improved free cash flow, but near-term capital returns are unlikely until completion. At over 43x current earnings and 25x 2028 earnings, EL is deeply overvalued; I maintain a "Sell" rating with ~20% downside to fair value. Robert Way/iStock Editorial via Getty Images Shares of Estee Lauder ( EL ) have recovered solidly over the past year, gaining over 40%, though its earnings on Thursday reminded investors this is not a linear recovery by any means. While the company beat its Q2 earnings, the updated outlook provided alongside This article was written by Analyst's Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my o Show less Read more
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