Estée Lauder confirmed that it has terminated merger talks with Puig. Instead, it plans to stay the course: investing in its brands, rightsizing its distribution footprint, and extracting inefficiencies. The shares popped by a low-double-digit percentage on the May 21 announcement.
As a premium beauty pure-play, Estée Lauder is equipped to capture growth opportunities as middle-class consumers globally upgrade from mass brands.
Sales concentration in China amid macro challenges has pressured Estée's performance, and it takes time to diversify into other large growth markets.
|
Metric
|
EL
|
OR
|
BEI
|
|---|---|---|---|
Price/Earnings (Normalized) | 40.58 | 29.91 | 12.04 |
Price/Book Value | 8.13 | 5.96 | 1.79 |
Price/Sales | 2.20 | 4.74 | 1.58 |
Price/Cash Flow | 25.59 | 25.08 | 14.65 |
|
Metric
|
EL
|
OR
|
BEI
|
|---|---|---|---|
Quick Ratio | 0.82 | 1.06 | 1.37 |
Current Ratio | 1.27 | 1.44 | 1.90 |
Interest Coverage | 1.22 | 23.24 | 38.97 |
|
Metric
|
EL
|
OR
|
BEI
|
|---|---|---|---|
Return on Assets (Normalized) | 5.06% | 11.82% | 7.74% |
Return on Equity (Normalized) | 24.75% | 20.57% | 11.72% |
Return on Invested Capital (Normalized) | 8.87% | 15.63% | 11.27% |
|
1-Day Chart
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Name
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Price
|
Morningstar Rating for Stocks
|
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Economic Moat
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Market Cap
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United States