New York-based The Estée Lauder Companies Inc. (EL) is one of the world's leading manufacturers and marketers of prestige beauty products. The company has a market cap of $29.9 billion and it develops, manufactures, markets, and sells skincare, makeup, fragrance, and hair care products through a portfolio of globally recognized luxury and premium brands.
EL is expected to release its Q4 2026 earnings on Wednesday, Aug. 19, before the market opens. Ahead of the event, analysts expect the company’s EPS to be $0.31 on a diluted basis, up 244.4% from $0.09 in the year-ago quarter. The company has exceeded Wall Street’s EPS estimates in each of its last four quarters.
For fiscal 2026, analysts project the company’s EPS to be $2.41, up 59.6% from $1.51 in fiscal 2025. Moreover, its EPS is expected to rise by 32% year over year to $3.18 in fiscal 2027.
EL stock has dipped 10.9% over the past 52 weeks, underperforming the S&P 500 Index’s ($SPX) 16.5% rise and the State Street Consumer Staples Select Sector SPDR ETF’s (XLP) 1.9% rise during the same time frame.
Estée Lauder has struggled to keep pace with the broader market as investors remain wary of its sluggish turnaround. Weak organic sales growth has highlighted softer demand across key markets, while rising costs and operational inefficiencies have squeezed profitability. Adding to the pressure, earnings have fallen faster than revenue over the past three years, partly due to shareholder dilution, dampening confidence in the company's recovery prospects.
Investor sentiment took another hit on Jul. 8, when Estée Lauder shares dropped 3.6% after President Trump declared the Iran ceasefire "over" and threatened further strikes. The resulting spike in oil prices stoked inflation fears, raising concerns that higher freight and production costs could further erode margins, while rising bond yields made defensive consumer staples stocks like Estée Lauder less attractive.
Analysts are somewhat optimistic about EL, with the stock having a “Moderate Buy” rating overall. Among the 26 analysts covering the stock, nine are recommending a “Strong Buy,” one recommends a “Moderate Buy,” 15 recommend a “Hold,” and one suggests a “Strong Sell.” EL’s average analyst price target is $92.24, indicating an upside of 15.4% from the current levels.
On the date of publication, Kritika Sarmah did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
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