Estee Lauder Companies’ fiscal third quarter earnings surpassed expectations, on the back of strong revenue from Asia and several beauty brands.
For the three months ending in March, the skincare and cosmetics company’s diluted earnings came in at $1.51 per share, which beat analysts’ estimates of $1.30 per share. Total group sales increased +11% year-over-year to $3.74 billion – also higher than analysts’ estimates.
For the full-year 2019, Estee Lauder predicted that its adjusted earnings would range between $5.15 and $5.19 per share, up from its February projection of $4.92 and $5.00 range.
CEO Fabrizio Freda highlighted the Asia/Pacific region, the skin care brands, the Estee Lauder, La Mer and Tom Ford Beauty brands, and travel retail and global online channels as the main contributors to growth for the quarter.
Moving lower for three straight days is viewed as a bearish sign. Keep an eye on this stock for future declines. Considering data from situations where EL declined for three days, in of 276 cases, the price declined further within the following month. The odds of a continued downward trend are .
The Momentum Indicator moved below the 0 level on September 12, 2023. You may want to consider selling the stock, shorting the stock, or exploring put options on EL as a result. In of 90 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
The Aroon Indicator for EL entered a downward trend on August 31, 2023. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
The RSI Indicator entered the oversold zone -- be on the watch for EL's price rising or consolidating in the future. That's also the time to consider buying the stock or exploring call options.
The Stochastic Oscillator demonstrated that the ticker has stayed in the oversold zone for 1 day, which means it's wise to expect a price bounce in the near future.
The Moving Average Convergence Divergence (MACD) for EL just turned positive on August 29, 2023. Looking at past instances where EL's MACD turned positive, the stock continued to rise in of 45 cases over the following month. The odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where EL advanced for three days, in of 336 cases, the price rose further within the following month. The odds of a continued upward trend are .
EL may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is fair valued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (9.355) is normal, around the industry mean (9.706). P/E Ratio (52.356) is within average values for comparable stocks, (184.323). Projected Growth (PEG Ratio) (3.965) is also within normal values, averaging (4.315). Dividend Yield (0.018) settles around the average of (0.026) among similar stocks. P/S Ratio (3.315) is also within normal values, averaging (101.735).
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating fairly steady price growth. EL’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating that the returns do not compensate for the risks. EL’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 83, placing this stock worse than average.
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
a company which offers skin care, makeup, fragrance and hair care products
A.I.dvisor indicates that over the last year, EL has been loosely correlated with COTY. These tickers have moved in lockstep 58% of the time. This A.I.-generated data suggests there is some statistical probability that if EL jumps, then COTY could also see price increases.