Traders Buy Estee Lauder Companies (EL) on Weakness on Analyst Downgrade

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Traders bought shares of Estee Lauder Companies Inc (NYSE:EL) on weakness during trading hours on Tuesday after Deutsche Bank lowered their price target on the stock to $159.00. $163.05 million flowed into the stock on the tick-up and $134.69 million flowed out of the stock on the tick-down, for a money net flow of $28.36 million into the stock. Of all companies tracked, Estee Lauder Companies had the 31st highest net in-flow for the day. Estee Lauder Companies traded down ($3.93) for the day and closed at $136.63

Other equities research analysts have also recently issued reports about the company. DA Davidson raised Estee Lauder Companies from a “neutral” rating to a “buy” rating and lifted their target price for the company from $134.00 to $167.00 in a research note on Tuesday. JPMorgan Chase & Co. set a $154.00 price target on Estee Lauder Companies and gave the stock a “buy” rating in a research report on Tuesday. Citigroup reduced their price target on Estee Lauder Companies from $158.00 to $149.00 and set a “neutral” rating on the stock in a research report on Tuesday. Raymond James raised their price target on Estee Lauder Companies from $145.00 to $151.00 and gave the stock an “outperform” rating in a research report on Tuesday. Finally, Piper Jaffray Companies restated an “overweight” rating and issued a $156.00 price target (down from $162.00) on shares of Estee Lauder Companies in a research report on Tuesday. Six investment analysts have rated the stock with a hold rating and twenty have given a buy rating to the company. The company presently has a consensus rating of “Buy” and an average price target of $146.06.

A number of hedge funds have recently bought and sold shares of EL. Fundsmith Equity Fund L.P. bought a new position in Estee Lauder Companies during the second quarter worth about $701,543,000. JPMorgan Chase & Co. lifted its holdings in Estee Lauder Companies by 332.8% during the first quarter. JPMorgan Chase & Co. now owns 3,505,185 shares of the company’s stock worth $524,797,000 after acquiring an additional 2,695,358 shares in the last quarter. Old Mutual Global Investors UK Ltd. lifted its holdings in Estee Lauder Companies by 187.1% during the first quarter. Old Mutual Global Investors UK Ltd. now owns 1,567,264 shares of the company’s stock worth $234,650,000 after acquiring an additional 1,021,345 shares in the last quarter. Millennium Management LLC lifted its holdings in Estee Lauder Companies by 212.5% during the second quarter. Millennium Management LLC now owns 1,120,085 shares of the company’s stock worth $159,825,000 after acquiring an additional 761,655 shares in the last quarter. Finally, Nomura Holdings Inc. lifted its holdings in Estee Lauder Companies by 101.1% during the second quarter. Nomura Holdings Inc. now owns 5,635 shares of the company’s stock worth $804,000 after acquiring an additional 528,060 shares in the last quarter. Hedge funds and other institutional investors own 54.54% of the company’s stock.

The company has a debt-to-equity ratio of 0.71, a current ratio of 1.82 and a quick ratio of 1.37. The firm has a market capitalization of $49.90 billion, a price-to-earnings ratio of 39.37, a PEG ratio of 1.99 and a beta of 0.62.

Estee Lauder Companies (NYSE:EL) last posted its earnings results on Monday, August 20th. The company reported $0.61 earnings per share for the quarter, topping the Thomson Reuters’ consensus estimate of $0.56 by $0.05. The firm had revenue of $3.30 billion for the quarter, compared to analyst estimates of $3.25 billion. Estee Lauder Companies had a return on equity of 35.88% and a net margin of 8.67%. The company’s revenue for the quarter was up 13.9% on a year-over-year basis. During the same period in the previous year, the company posted $0.51 earnings per share. equities analysts expect that Estee Lauder Companies Inc will post 4.47 EPS for the current fiscal year.

The firm also recently announced a quarterly dividend, which will be paid on Monday, September 17th. Shareholders of record on Friday, August 31st will be issued a dividend of $0.38 per share. The ex-dividend date of this dividend is Thursday, August 30th. This represents a $1.52 annualized dividend and a yield of 1.11%. Estee Lauder Companies’s dividend payout ratio is presently 43.80%.

Estee Lauder Companies Company Profile (NYSE:EL)

The Estée Lauder Companies Inc manufactures and markets skin care, makeup, fragrance, and hair care products worldwide. The company offers a range of skin care products, such as moisturizers, serums, cleansers, toners, body care, exfoliators, acne and oil correctors, facial masks, cleansing devices, and sun care products; and makeup products for face, eyes, lips, and nails, as well as related items, including compacts, brushes, and other makeup tools.

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