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ELEstee Lauder Companies, Inc. (TSell4.9·$97.12+0.67%
SellHigh Confidence
Investment thesis

The company has delivered three consecutive earnings beats averaging a 32% positive surprise, and momentum indicators are recovering from a technical trough, but the stock trades at its near-term resistance ceiling with essentially no upside remaining and a materially unfavorable risk/reward profile — making further gains contingent on a fundamental re-rating that the current business quality profile does not yet support.

Thesis pillars

  • Momentum Recovery In ProgressStable
  • Consistent Earnings OutperformanceStable
  • Target Exhausted Negative SetupDeteriorating
  • +1 more pillar — see the Why tab for full reasoning

Full reasoning →

Open full analysis

Estee Lauder Companies, Inc. (T (EL) Stock Analysis

Range Bound setup

SellVALUE-TRAP 1/5High Confidence

Consumer Defensive · Household & Personal Products

Sell if holding. Analyst target reached at $97.12 — A.R:R is negative (-0.1) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Concentration risk — Supplier: single or limited-number suppliers (select products).

The Estée Lauder Companies is one of the world's leading manufacturers, marketers, and sellers of skin care, makeup, fragrance, and hair care products, stewarding more than 20 luxury and prestige brands — including Estée Lauder, Clinique, M·A·C, La Mer, Jo Malone London, and TOM... Read more

$97.12-0.8% A.UpsideScore 4.9/10#16 of 18 Household & Personal Products
QualityF-score7 / 9FCF yield5.16%
IncomeYield1.44%(5y avg 1.62%)Payout280.00%at-risk
Stop $90.92Target $105.85(resistance)A.R:R -0.1:1
Analyst target$107.04+10.2%27 analysts
$105.85our TP
$97.12price
$107.04mean
$70
$127

Sell if holding. Analyst target reached at $97.12 — A.R:R is negative (-0.1) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Concentration risk — Supplier: single or limited-number suppliers (select products). Chart setup: RSI 40 mid-range, Bollinger mid-band. Score 4.9/10, high confidence.

Passes 5/8 gates (clean insider activity, news events none recent, earnings proximity 49d clear, semi cycle peak clear, materials cycle peak clear). Fails on weak momentum and favorable risk/reward ratio and 8k serious 2.05,2.05. Suitability: moderate.

10-K grounded · weekly refresh

About Estee Lauder Companies, Inc. (T

About Estee Lauder Companies, Inc. (T

Estée Lauder markets more than 20 luxury and prestige beauty brands — including Estée Lauder, Clinique, M·A·C, La Mer, Jo Malone London, and TOM FORD — across skin care, makeup, fragrance, and hair care, reaching consumers in approximately 150 countries and territories. A substantial majority of net sales and operating income is generated outside the United States, and the company operates roughly 1,600 freestanding stores alongside a 1,100-person research and development organization that spent $316 million in fiscal 2025.

Estée Lauder sells wholesale through department stores, duty-free retailers, specialty-multi retailers, online pure players, perfumeries, pharmacies, and top-tier salons and spas, supplemented by a direct-to-consumer business across freestanding stores and brand and third-party websites; a fifth revenue line, grouped under 'Other,' includes royalty income from licensing the TOM FORD trademark since the fiscal 2023 brand acquisition. The company manufactures primarily in its own facilities across the Americas, Europe (Belgium, Switzerland, the U.K.), and Japan, supplemented by third-party manufacturing networks, and it is reorganizing its geographic reporting beginning fiscal 2026 into four regions: the Americas; Europe, the U.K. and Ireland and Emerging Markets; Asia/Pacific; and Mainland China as a standalone region. Some products rely on a single or limited number of suppliers, and the company is mid-way through its Profit Recovery and Growth Plan, a restructuring program first announced in February 2024 and expanded in February 2025 to rebuild profit margins in fiscal 2025 and 2026.

Show full overview

Estée Lauder's own risk disclosure ties its results to a narrowing retail base: a longer-term decline in department-store traffic in the United States has left the company more dependent on a shrinking set of key retailers, and the 10-K singles out China and the United States by name as markets where a failure to compete effectively could have a material adverse effect on the business. That retailer concentration compounds the customer-credit risk inherent in extending credit to retailers largely without collateral, so a struggling retailer's bankruptcy or liquidation could pressure both sales and receivables at once.

See also: Consumer Defensive · Household & Personal Products

From Estee Lauder Companies, Inc. (T's most recent 10-K filing, extracted September 6, 2026.

news + 30-day 8-K events · 5-min refresh

Recent developments

updated 2026-09-14
TrendMatrix Research · upcoming catalyst calendar

Upcoming dated catalysts

Mon, Nov 2, 202649d to earnings· next earnings call

Thesis

Rewards
Sector modifier (Consumer Defensive): +0.8
Strong earnings beat streak (4/4)
Risks
Concentration risk — Supplier: single or limited-number suppliers (select products)
Analyst target reached - limited upside remaining
V7 low-quality RISK_OFF penalty: -0.5 (Q=5.0)

Key Metrics

P/E (TTM)194.2
P/E (Fwd)24.8
Mkt Cap$35.1B
EV/EBITDA16.7
Profit Mgn1.2%
ROE4.7%
Rev Growth6.3%
Beta1.27
Dividend1.44%
Rating analysts38

Quality Signals

Piotroski F7/9MoatNarrow

Options Flow

P/C0.92neutral
IV47%normal

Concentration Risks(10-K Item 1A)

  • MEDIUMCustomerkey retailers (department store customers)
    10-K Item 1A: 'Consolidation or liquidation in the retail trade, from these or other factors, may result in us becoming increasingly dependent on key retailers and could result in an increased risk related to the concentration of our customers.'
  • MEDIUMGeographicoutside the United States
    10-K Item 1A: 'We operate on a global basis, with a substantial majority of our net sales and operating income generated outside the United States.'
  • HIGHSuppliersingle or limited-number suppliers (select products)
    10-K Item 1A: 'Some of our products rely on a single or a limited number of suppliers.'

Material Events(8-K, last 90d)

  • 2026-06-03Item 2.05MEDIUM
    Amendment No. 6 restates the Profit Recovery and Growth Plan restructuring program (launched Feb 2024, expanded Feb 2025): originally estimated $500-700 million in pre-tax restructuring and other charges. No new charge estimate visible in this filing excerpt.
    SEC filing →
  • 2026-04-01Item 2.05MEDIUM
    Amendment No. 5 restates the Profit Recovery and Growth Plan restructuring program (launched Feb 2024, expanded Feb 2025): originally estimated $500-700 million in pre-tax restructuring and other charges. No new charge estimate visible in this filing excerpt.
    SEC filing →

Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.

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About TrendMatrix. TrendMatrix is a publisher of general securities research and market commentary. We publish on a regular schedule. All content is the same for every subscriber in a tier — we do not provide personalized investment advice and we do not take into account any individual subscriber's financial situation, investment objectives, risk tolerance, tax situation, or holdings.

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Methodology · Editorial policy & full disclaimer

Rating Breakdown

2 floor-breakers

Momentum below the gate floor. Component breakdown shows what dragged the score down.static

Macd
0.0
Obv
1.0
Volume
1.0
Rsi
5.5
Ma Position
6.0
Volume distribution (falling OBV)Above 200-day MA

Ranks in the bottom of its industry peers on the composite signal. Better names in the same sector exist.static

Value Rank
1.7
Quality Rank
4.3
Growth Rank
7.8
GatesMomentum 2.7<4.5A.R:R -0.1=NEGATIVE8K SERIOUS 2.05,2.05Insider activity: OKNEWS EVENTS NONE RECENTEARNINGS PROXIMITY 49d clearSEMI CYCLE PEAK CLEARMATERIALS CYCLE PEAK CLEARRange BoundSuitability: Moderate
RSI
40 · Neutral
20D MA 50D MA 200D MADEATH CROSSSupport $83.57Resistance $108.01

Price Targets

$91
$106
A.Upside-0.8%
A.R:R-0.1:1

Position Sizing

ConvictionNone
Suggested %0.5%
Max %1%
RegimeRisk-Off

Risk Alerts

! Target reached (-0.8% upside)
! momentum at 2.7 (below the engine's 4.5 threshold)
! Negative risk/reward — downside exceeds upside

Earnings

B
B
B
B
4/4 beats
Next Earnings2026-11-02 (49d)

Verdict History

reverse chrono — latest first
Loading history...
Verdicts are recorded on every nightly pipeline run. Rows capture transitions (verdict flips, score deltas ≥0.3, entry/TP/SL changes). Rows with a ▶ can be expanded to see the change reason. Aggregate cohort performance is tracked in the recommendation ledger.
Frequently Asked Questions
Is EL stock a buy right now?

Sell if holding. Analyst target reached at $97.12 — A.R:R is negative (-0.1) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Concentration risk — Supplier: single or limited-number suppliers (select products). Chart setup: RSI 40 mid-range, Bollinger mid-band. Prior stop was $90.92. Score 4.9/10, high confidence.

What is the EL stock price target?

Take-profit target: $105.85 (-0.8% upside). Prior stop was $90.92. Stop-loss: $90.92.

What are the risks of investing in EL?

Concentration risk — Supplier: single or limited-number suppliers (select products); Analyst target reached - limited upside remaining; V7 low-quality RISK_OFF penalty: -0.5 (Q=5.0).

Is EL overvalued or undervalued?

Estee Lauder Companies, Inc. (T trades at a P/E of 194.2 (forward 24.8). TrendMatrix value score: 4.1/10. Verdict: Sell.

What do analysts say about EL?

38 analysts cover EL with a consensus score of 3.7/5. Average price target: $107.

What does Estee Lauder Companies, Inc. (T do?The Estée Lauder Companies is one of the world's leading manufacturers, marketers, and sellers of skin care, makeup,...

The Estée Lauder Companies is one of the world's leading manufacturers, marketers, and sellers of skin care, makeup, fragrance, and hair care products, stewarding more than 20 luxury and prestige brands — including Estée Lauder, Clinique, M·A·C, La Mer, Jo Malone London, and TOM FORD — sold across approximately 150 countries and territories. The company operates as a wholesaler through department stores, specialty retailers, and e-commerce, plus a direct-to-consumer network of roughly 1,600 freestanding stores, and the Lauder family controls approximately 84% of the company's voting power.

Related stocks: ELF (e.l.f. Beauty, Inc.) · KVUE (Kenvue Inc.) · PG (Procter & Gamble Company (The)) · KMB (Kimberly-Clark Corporation) · IPAR (Interparfums, Inc.)
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