Citi analyst Filippo Falorni downgraded Estee Lauder to Neutral from Buy with a price target of $195, down from $240. The analyst sees increasing risks to the recovery path for the Asian business over the next 6-12 months. The firm remains optimistic about the long-term revenue and margin opportunities at Estee Lauder, but expects weaker results over the next few quarters with “negative incremental data points” around China, share dynamics, and the cybersecurity incident. Citi thinks the market is braced for a low initial fiscal 2024 guidance, but worries continued weakness in results may lead investors to question the “normalized earnings power” of the company for 2025.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
Published first on TheFly – the ultimate source for real-time, market-moving breaking financial news. Try Now>>
See today’s best-performing stocks on TipRanks >>
Read More on EL:
- Meta Platforms upgraded, Estee Lauder downgraded: Wall Street’s top analyst call
- Estee Lauder downgraded to Hold from Buy at Jefferies
- Tesla downgraded, Netflix upgraded: Wall Street’s top analyst calls
- Estee Lauder downgraded to Neutral from Overweight at Piper Sandler
- Estee Lauder price target lowered to $210 from $235 at TD Cowen