ESTEE LAUDER ● The company has strong fundamentals. More than 70% of listed companies have a lower mix of growth, profitability, debt and visibility criteria.
● In a short-term perspective, the company has interesting fundamentals.
Strengths
● Predictions on business development from analysts polled by Thomson-Reuters are tight. This results from either a good visibility into core activities or accurate earnings releases.
● Historically, the company has been releasing figures that are above expectations.
● Analysts have consistently raised their revenue expectations for the company, which provides good prospects for the current and next years in terms of revenue growth.
● Over the last twelve months, the sales forecast has been frequently revised upwards.
● For the last few months, EPS revisions have remained quite promising. Analysts now anticipate higher profitability levels than before.
● For the last twelve months, analysts have been gradually revising upwards their EPS forecast for the upcoming fiscal year.
● Analysts have a positive opinion on this stock. Average consensus recommends overweighting or purchasing the stock.
● The stock is in a well-established, long-term rising trend above the technical support level at 161.03 USD
Weaknesses
● Stock prices approach a strong long-term resistance in weekly data at USD 199.01.
● With an enterprise value anticipated at 4.7 times the sales for the current fiscal year, the company turns out to be overvalued.
● The company's valuation in terms of earnings multiples is rather high. Indeed, the firm is getting paid 38.84 times its estimated earnings per share for the ongoing year.
● The company is not the most generous with respect to shareholders' compensation.
