Estee Lauder Companies Inc

Estee Lauder Companies has entered a global strategic partnership with AI marketing platform Profound to improve how its brands appear across generative AI platforms. The collaboration gives Estee Lauder a portfolio-wide view of how its brands surface on major generative AI platforms including ChatGPT and Gemini, and makes it the first prestige beauty company to deploy Profound's capabilities globally across its full portfolio and implement Generative Engine Optimization at scale. Profound's agentic tools will optimize product pages, blogs, YouTube channels and other digital content so that product information, ingredients, claims and benefits are easier for large language models to understand and surface, with AI visibility insights integrated into Estee Lauder's One Operating Ecosystem. The initiative builds on Estee Lauder's digital exposure, with online sales reaching 34% of reported sales in fiscal 2026, up three percentage points year over year. Shares of the Zacks Rank #3 (Hold) company have gained 14.1% in the past month, and the stock trades at a forward 12-month P/E ratio of 27.97 versus an industry average of 22.15.

A California district court judge has rejected Walmart's bid to dismiss a lawsuit brought by Estée Lauder, allowing the case to proceed and expanding its scope beyond the 17 products tested for authenticity. Estée Lauder filed the suit last February, accusing Walmart of facilitating the sale of counterfeit versions of its licensed products by its namesake banner, La Mer, Le Labo, Clinique, Aveda, and Tom Ford, which were sold by third parties on Walmart's website. The complaint also claims Walmart allowed Estée Lauder trademarks to be used in its search engine, enabling the retailer to further profit from those sales. Walmart argued the complaint lacked factual allegations tying it to other products sold by third-party sellers on Walmart.com and that the products were not sufficiently related to warrant inclusion in a single suit. Judge Hernan Vera ruled that Walmart's request for dismissal is unjustified at this stage, opening the opportunity for Estée Lauder to expand its lawsuit beyond the 17 items tested.

The Consumer Staples Select Sector SPDR Fund ended August roughly flat, slipping about 0.08% for the month, a muted headline number that obscured double-digit swings in individual names. Hormel Foods and Tyson Foods led the sector's losses after cutting sales outlooks even as they posted profit beats, while Estée Lauder, General Mills, and Bunge Global posted double-digit gains on improving results and upgraded forecasts. Hormel fell about 12% after reporting fiscal third-quarter adjusted earnings of 37 cents per share, beating estimates by 2 cents, but organic net sales fell 2% as commodity turkey and bacon and a strategic exit from certain private-label snack-nut items weighed on the top line; the company raised its adjusted EPS outlook for fiscal 2026 to $1.45-$1.51 from $1.43-$1.51, while cutting its net sales forecast to $12.1 billion-$12.2 billion from $12.2 billion-$12.5 billion. Tyson dropped about 8% after its fiscal third-quarter adjusted EPS rose 9% to 99 cents, with sales roughly flat at $13.87 billion, as its beef segment posted an operating loss of $138 million on constrained cattle supplies and higher input costs, prompting the company to widen its full-year beef loss forecast. Estée Lauder rose about 17% after reporting fiscal fourth-quarter net sales up 6% to $3.63 billion and adjusted EPS of 39 cents, and raising its fiscal 2027 adjusted operating-margin outlook to 12.7%-13.5% from 12.5%-13.0%. General Mills gained about 14% on a fiscal 2027 outlook centered on improved organic net sales growth and at least $750 million in cost savings, while Bunge rose about 13% after raising its full-year adjusted EPS outlook to $9.25-$9.75 from $9.00-$9.50.

Estée Lauder Companies forecast fiscal 2027 adjusted earnings per share of $3.10 to $3.35, above analyst estimates, after fourth-quarter net sales rose 6.3% to $3.63 billion, driven by strong demand for luxury fragrance and skincare, sending shares up 11% in premarket trading on August 19, 2026. The company's luxury perfume brands Le Labo and Tom Ford drove 10% sales growth in that category, while CEO Stéphane de La Faverie said the company will keep pushing what is working. Estée Lauder has cut roughly 10,000 jobs, freeing up about $1.2 billion as it shifts toward faster-growing channels like Amazon and TikTok Shop, and it booked a $38 million tariff-refund benefit with real sales growth in mainland China. However, makeup sales stayed flat and hair care sales dropped 1%, with the CEO admitting dissatisfaction with both categories. Fourth-quarter results included a $116 million net loss, though that shrank from a $546 million loss a year earlier, and the full-year tariff hit was $102 million, only partly offset by the refund, while turnaround costs ran above the top end of the guided range of $1.5 billion to $1.7 billion. The company was held by 47 hedge funds as of Q1 2026, down from 50, compared to 32 for Coty and 39 for e.l.f. Beauty.

Estée Lauder Companies reported fiscal 2026 fourth-quarter and full-year earnings on August 19, with organic net sales up 3% for the year, adjusted operating margin expanding 320 basis points to 11.2%, and adjusted diluted EPS jumping 66% to $2.51. Fragrance led growth with 10% organic sales increase, while Skin Care grew 4%, and Jo Malone London and TOM FORD joined the billion-dollar brand club, bringing the total to six brands at that scale. Gross margin reached 75.5%, up 150 basis points, aided by the Profit Recovery and Growth Plan, which is delivering $1.2 billion in annual gross benefits. Mainland China organic net sales grew 9%, and online sales hit a record 34% of total sales. For fiscal 2027, the company guides to organic sales growth of 3% to 5% and an adjusted operating margin of 12.7% to 13.5%. However, the Middle East conflict cut EMEA organic sales growth by 2 percentage points in the fourth quarter, Hair Care declined 1%, and Makeup finished flat. The restructuring plan eliminated 10,000 positions with $823 million in cumulative charges, and fiscal 2027 cash flow guidance of $1.3 billion to $1.4 billion is down from $1.8 billion in fiscal 2026. CEO Stephane de la Faverie ruled out large acquisitions, saying the company is not entertaining transformational deals. Hedge fund ownership held steady at 47 funds, and the stock trades at a forward P/E of 32.26, with short interest at 3.46% of float.

The Estée Lauder Companies reported fourth-quarter sales of US$3,627 million and a quarterly net loss of US$116 million, alongside full-year sales of US$15.05 billion and net income of US$182 million. The company issued EPS guidance of US$2.52–US$2.85 for the year ending June 30, 2027, and affirmed a US$0.35 quarterly dividend payable on September 15, 2026. Additionally, Estée Lauder's research collaboration with the University of Leeds on color science and skin tone perception signals an emphasis on more precise complexion products, potentially influencing its competitive positioning. The combination of improved full-year profitability, new EPS guidance, and an affirmed dividend shapes the company's investment narrative, though a quarterly loss and high debt keep execution risk in focus.

Estee Lauder Companies stock rose 18.4% over the past week after the beauty group reported fiscal 2026 results and raised its profit margin outlook for fiscal 2027. The company posted fiscal Q4 2026 revenue of $3.6 billion, up 6% year over year and ahead of an analyst estimate of $3.54 billion, while organic sales grew 3% for the full year. Management guided fiscal 2027 organic growth of 3% to 5%, meaning no acceleration at the low end, but operating margin before restructuring charges reached 11.2% in fiscal 2026, up 320 basis points, and is expected to rise to 12.7% to 13.5% in fiscal 2027. The improvement is driven by overhead cost reductions and structural operational savings under the Profit Recovery and Growth Plan, which carried $823 million of cumulative charges in fiscal 2026, mostly employee-related. Cash from operations was $1.8 billion in fiscal 2026, but management guides $1.3 billion to $1.4 billion for fiscal 2027 due to higher restructuring payments and working capital, with debt paydown and the dividend first in line.

Moderna delivered one of the largest single-session moves for an S&P 500 company, closing 177% higher at $174.38 on Wednesday after reporting positive late-stage data for its personalized cancer vaccine. The stock pulled back over 23% on Thursday before adding more than 10% so far on Friday, leaving it on course for a gain of around 135% over the week. The Phase 3 trial evaluated Moderna's intismeran alongside Merck's Keytruda in advanced skin cancer, and met its primary goal of recurrence-free survival, with a key secondary endpoint on distant metastasis-free survival also met and no new safety signal reported. Crypto-exposed equities rallied hard this week after bitcoin surged on the U.S. Treasury's decision to at least double the size of its long-dated bond buyback operations, alongside supportive comments on the sector from President Donald Trump. The Treasury raised the maximum per-operation size from $2 billion to at least $4 billion for the 10-to-20-year and 20-to-30-year sectors, effective Sept. 9 through Nov. 4. Bitcoin is currently above $77,000, having hit a high of $79,461 earlier in Friday's session. As a result, Strategy has risen 25.9% over the week, with Marathon Digital up 22.5%, Coinbase 23.1% higher, Circle up 16.3%, Galaxy Digital 12.3% higher and Robinhood up 9.7%. The same Treasury announcement also lifted metals producers, with the dollar weakening and precious metal prices moving higher. Agnico Eagle leads the group so far on Friday with an 18.4% gain over the week, followed by Barrick at 15%, Freeport-McMoRan up 14% and Newmont 13.3% higher. The dollar has declined, with spot gold gaining more than 2% on Friday and over 6% in the past week. Estée Lauder jumped more than 16% on Wednesday and is set to finish the week up around 15.9% after fourth-quarter results came in ahead of expectations. Sales rose 6%, beating consensus of 4%, while adjusted earnings of $0.39 per share topped the $0.32 expected. Management pointed to share gains in mainland China and growth across all product categories except hair care, alongside continued progress on cost-cutting through its One ELC initiative and Profit Recovery and Growth Plan. Canaccord analyst Susan Anderson raised her price target for the stock to $90 from $85, maintaining a Hold rating following the release. Walmart is the week's notable loser, sinking 9.2% on Thursday and down a further 0.9% so far on Friday after second-quarter results that beat on the headline numbers but disappointed on the metric that mattered most. Comparable sales at Walmart-only U.S. stores excluding gas grew 2.6%, well short of the 3.67% consensus and the slowest U.S. sales growth in six years. Mizuho analyst David Bellinger described the outcome as a worst-case scenario, calling it a very messy print and one of the biggest misses in years from the retailer.

Moderna shares surged by a record 101 percent, the stock's biggest intraday gain on record, after the biotech said a personalized cancer vaccine combined with partner Merck & Co.'s Keytruda helped cut the recurrence of melanoma in a large, late-stage trial. The study also met a key secondary goal of showing the shot could help prevent tumors from spreading to new areas of the body, the companies said in a statement Wednesday. Estee Lauder rallied after the beauty company's adjusted earnings per share and sales metrics topped consensus expectations for the fourth quarter, with the midpoint of fiscal 2027 organic sales and adjusted EPS guidance ranges above Street views. La-Z-Boy tumbled at the open after the furniture maker's forecast sales for the second quarter missed the average analyst estimate.

Moderna and Merck shares surged after their personalized cancer vaccine showed positive results in a late-stage trial, with Moderna skyrocketing 120% and Merck jumping 10%. Pilgrim's Pride rallied 15% after JBS, which owns more than 80% of the chicken producer, bid to acquire the remaining stock. Gold miners jumped after the Treasury Department announced sharply higher government debt repurchases, sending yields lower and boosting gold, with the VanEck Gold Miners ETF up 9% and Coeur and Hecla each gaining more than 13%. Marvell Technology rose more than 7% after giving Google permission to buy a $12 billion stake as part of a custom chip development deal. Coinbase surged 11% as bitcoin popped more than 5% to about $68,000, while Lowe's gained over 3% despite cutting its full-year outlook to the bottom end of prior guidance. Target added 5% after beating second-quarter revenue expectations and hiking full-year guidance, helped by a $752 million tariff refund boost. La-Z-Boy tanked 16% after fiscal first-quarter adjusted earnings fell 9% and current-quarter revenue guidance missed FactSet consensus, while Mercury Systems slid more than 6% on mixed results. Estee Lauder rose more than 16% after fiscal fourth-quarter adjusted earnings and revenue beat estimates.

The U.S. Treasury announced plans to double liquidity support buyback operations on longer-end securities, sending bond yields notably lower and lifting market indexes ahead of the open. The current buyback position of $2 billion per operation will now become $4 billion, with the 30-year bond dropping below 5.3%, the 10-year beneath 4.7%, and the 2-year under 4.2%. Moderna shares surged 95% after its intismeran vaccine met primary goals in Phase 3 testing for preventing cancer in melanoma patients, while partner Merck rose 7%. Target reported beats on both top and bottom lines with earnings of $2.46 per share on revenues of $26.54 billion, but shares fell 1% despite raised guidance. Lowe's posted mixed results with earnings of $4.40 per share beating estimates while revenues of $25.96 billion missed, and TJX Companies outperformed with earnings of $1.22 per share but fell 3.3% on a weaker outlook. Estee Lauder shares jumped 12% after fiscal Q4 earnings of $0.39 per share beat the $0.32 anticipated on revenues of $3.63 billion.

Moderna shares jumped 95% in pre-market trading after its intismeran vaccine met primary goals in Phase 3 testing for preventing cancer in melanoma patients whose tumors had been surgically removed, while partner Merck rose 7%. The U.S. Treasury said it will double liquidity support buyback operations on longer-end securities from $2 billion to $4 billion per operation, sending bond yields lower and market indexes higher. Target reported beats on both top and bottom lines with earnings of $2.46 per share on revenues of $26.54 billion, but shares fell 1% despite raised guidance. Lowe's posted mixed results with earnings of $4.40 per share beating estimates by 4.27% while revenues of $25.96 billion missed consensus by 0.68%. TJX Companies beat estimates with earnings of $1.22 per share on revenues of $15.18 billion but shares dropped 3.3% on a weaker outlook, and Estee Lauder surged 12% after fiscal fourth-quarter earnings of $0.39 per share on revenues of $3.63 billion beat expectations.

Estée Lauder Cos. posted quarterly results that beat estimates and ended a run of three straight declines in annual revenue, a sign the beauty conglomerate's turnaround efforts are gaining momentum. The owner of brands including La Mer, Jo Malone London and Kilian Paris reported revenue of $3.6 billion in the company's fiscal fourth quarter through June, above the average of analyst estimates compiled by Bloomberg. The company also reaffirmed its 2027 full-year sales outlook and raised guidance on its adjusted operating margin, a key metric of profitability. The solid results cap a fiscal year that Estée Lauder had billed as pivotal after shedding about $100 billion in market value since its post-Covid peak in early 2022. Since taking over in 2025, Chief Executive Officer Stéphane de La Faverie has aimed to boost profitability, in part by restructuring operations, and the company confirmed an approximate net reduction of 10,000 jobs, the higher end of its previously disclosed range.

Chinese consumers are changing their spending habits in the luxury goods market, turning more to premium beauty products instead of buying handbags and luxury fashion brand items. Amid a slowing economy and consumer confidence that has yet to fully recover, major beauty companies like Estée Lauder and L'Oréal reported strong growth in high-end product sales in China this year, while luxury fashion makers such as Hermès and LVMH indicated that demand remains flat. Nicolas Hieronimus, CEO of L'Oréal, said that premium skincare and dermocosmetic products in China grew around 7 percent, with L'Oréal's luxury beauty division in China expanding 10 percent in the latest quarter. Data from Oliver Wyman and the World Duty Free Association found that 37 percent of high-spending Chinese consumers plan to increase their beauty product budgets next year, compared to just 4 percent who intend to buy more leather goods.

Water Tower Research Managing Director Linda Bolton Weiser explains how e.l.f. Beauty and Estée Lauder benefit from inflation through the lipstick effect, where consumers buy small beauty items for a mood lift when budgets are tight. e.l.f. Beauty is well-positioned because it offers prestige-like products at very low mass prices, even below Covergirl and Maybelline, giving it room to raise prices and attract trade-downs from prestige brands. Procter & Gamble is called the king of innovation for its superior product performance and sophisticated research, allowing it to take price increases even when consumers are strapped by delivering value through better-functioning products.

Estee Lauder has a history of beating earnings estimates and may be poised to do so again in its next report, according to Zacks Investment Research. The beauty products company has topped consensus estimates by an average of 21.92% over the last two quarters, including a 37.88% surprise in the most recent quarter when it reported $0.91 per share versus the expected $0.66. For the upcoming report expected on August 19, 2026, Estee Lauder holds a Zacks Rank of 2, or Buy, and a positive Earnings ESP of plus 2.72%, a combination that Zacks research indicates produces a positive surprise nearly 70% of the time. The Earnings ESP reflects that analysts have recently become more bullish on the company's earnings prospects.

The nine personal care stocks tracked by the report delivered a strong first quarter, with aggregate revenues beating analysts' consensus estimates by 2.5% while next quarter's revenue guidance came in 3.5% below expectations. Edgewell Personal Care reported flat revenues of $519.5 million, in line with estimates, and posted a very strong quarter with beats on EBITDA and organic revenue. USANA Health Sciences was the best performer, with revenues of $250.2 million exceeding expectations by 3.8% and solid beats on EBITDA and EPS. Herbalife was the weakest, with revenues of $1.32 billion up 7.8% year on year but next quarter EBITDA guidance missing estimates. Medifast reported revenues of $76.04 million, down 34.3% year on year, yet beat expectations by 9.9% and raised full-year guidance. Estée Lauder posted revenues of $3.71 billion, up 4.6% year on year, in line with estimates, and exceeded EPS expectations while raising full-year EPS guidance. Share prices of the group have risen 11.7% on average since the latest earnings results.

Estée Lauder Companies stock may be trading at a discount according to a Simply Wall St analysis. The stock has fallen about 73% over the past five years, and the current share price is $82.47. A Discounted Cash Flow model estimates intrinsic value at about $130 per share, implying the stock is 37.2% undervalued, supported by a planned $1.748 billion restructuring under the multi-year Profit Recovery and Growth Plan. On a price-to-sales basis, the stock trades at about 2.0 times, below a fair ratio estimated at 2.4 times, suggesting it may be inexpensive relative to its revenue base. However, broader valuation checks are mixed, scoring 3 out of 6 tests, and execution risks from workforce reductions and business model changes could affect the recovery.

The global AI in cosmetics formulation market is projected to grow from $0.58 billion in 2025 to $1.6 billion by 2030, at a compound annual growth rate of 22.3%. This growth is driven by rising demand for personalized skincare, advanced data-driven techniques, and rapid product development. Key players include BASF SE, Unilever PLC, and L'Oreal S.A., with North America leading in market size and Asia-Pacific expected to be the fastest-growing region. Innovations such as Nouryon's AI-powered BeautyCreations portal and strategic moves like The Estee Lauder Companies' acquisition of DECIEM Beauty Group highlight industry trends toward enhanced personalization and efficiency.

Zacks Investment Research recommends five beauty and cosmetics stocks for a stable portfolio in the second half of 2026, all carrying a Zacks Rank of 1 (Strong Buy) or 2 (Buy). The picks are Estée Lauder, Helen of Troy, Nu Skin Enterprises, Kenvue, and Interparfums. Estée Lauder, the sole Strong Buy, is expected to see earnings grow 31.9% in its fiscal year ending June 2027, driven by its Profit Recovery and Growth Plan and digital expansion. Kenvue's earnings estimate has risen 5.5% over the past 60 days, with projected revenue growth of 3.2%. The other three companies face near-term revenue or earnings declines, but are supported by strategic initiatives such as portfolio optimization and channel expansion.

Estée Lauder reported third-quarter revenues of $3.71 billion, up 4.6% year on year and in line with analysts' expectations, while beating estimates on earnings per share and EBITDA. The results were part of a broader personal care earnings roundup in which nine tracked stocks collectively beat revenue consensus by 2.5% but issued next-quarter revenue guidance 3.5% below estimates. Among peers, USANA Health Sciences posted flat revenues of $250.2 million that topped expectations by 3.8%, and Herbalife reported a 7.8% revenue increase to $1.32 billion but saw its stock fall 22.9% after issuing weaker EBITDA guidance. Medifast's revenues dropped 34.3% to $76.04 million yet exceeded estimates by 9.9%, while Coty's revenues slipped 1.3% to $1.28 billion, slightly ahead of consensus.

Goldman Sachs reinstated coverage of The Estée Lauder Companies with a Buy rating and a $100 price target, arguing the beauty giant's turnaround is gaining traction and that investors are underestimating the durability of its sales and earnings recovery. The brokerage highlighted significant changes since 2025, including a new leadership team, a revamped Beauty Reimagined strategy, and a streamlined One ELC operating model, which have returned the company to revenue growth in fiscal 2026 after three consecutive years of declines while driving more than 300 basis points of operating margin expansion year-to-date. Goldman forecasts revenue growth of 4.5% in fiscal 2026 and fiscal 2027, with earnings per share rising to $2.44 in fiscal 2026 from $1.51 a year earlier, and expects EBITDA and EPS to grow at compound annual rates of 18% and 40%, respectively, between calendar years 2025 and 2027. The firm also pointed to improving conditions in China, which accounted for 19% of fiscal 2025 sales, where Estee Lauder has gained market share in seven of the last eight quarters, and noted that travel retail exposure has fallen to 15% of sales from a peak of 29% in fiscal 2021, reducing earnings volatility. On profitability, expanded cost-cutting measures under the Profit Recovery and Growth Plan are expected to support roughly 450 basis points of EBIT margin expansion through fiscal 2029, with management increasing targeted annual savings to $1.0 billion to $1.2 billion and widening planned workforce reductions to as many as 10,000 positions.

Estée Lauder Companies and Jo Malone London have launched Scent Scanner, an AI-powered Pinterest tool that personalizes fragrance recommendations, while Estée Lauder also expanded its UK manufacturing by integrating luxury candle and home fragrance production from Contract Candles and ended merger talks with Puig. The Scent Scanner launch and added UK manufacturing are directionally positive for digital engagement and capacity, but they do not materially change the near-term focus on travel retail recovery, consumer demand in core regions, or execution on restructuring and cost control as the key catalyst and risk. The Scent Scanner tool on Pinterest ties to existing catalysts around AI adoption and omnichannel growth, especially as online already represents 31% of sales. By pushing personalized fragrance discovery where consumers already curate visual preferences, Estée Lauder is leaning into higher-intent digital traffic and potentially better marketing ROI, which sits alongside its broader cost savings efforts and innovation pipeline. Investors should also weigh the risk that rising indie and influencer-led beauty brands continue to erode Estée Lauder's pricing power and customer loyalty.

Estée Lauder Companies stock could be 11% undervalued based on a margin recovery narrative, with a fair value estimate of $95.12 compared to a recent close of $84.81. The most followed view hinges on operational restructuring under the Profit Recovery and Growth Program, which is driving multi-year cost savings through SG&A reduction, outsourcing, localized production, and improved procurement, with savings reinvested into consumer-facing activities and innovation to support sustainable operating margin improvement and stronger earnings growth. The company has a market value of about $30.68 billion and reported revenue of $14.83 billion, with skin care contributing $7.19 billion, makeup $4.25 billion, fragrance $2.72 billion, and hair care $566 million. However, risks remain, including ongoing travel retail softness and heavy restructuring charges that could pressure margins if revenue momentum does not hold. A separate discounted cash flow model points to an estimated future cash flow value of $118.62, while the price-to-sales ratio of 2.1 times compares to a fair ratio of 2.2 times and an industry average of 1 times.

Ulta Beauty's fragrance category delivered high-teen comparable sales growth and increased its share of total revenues from 11% to 12% in the first quarter of fiscal 2026. Performance was driven by newness from core luxury brands including YSL, Carolina Herrera, and Valentino, along with an encouraging early performance from newly introduced brand Balmain. Innovation also contributed, particularly through the launch of a new milk scent format from exclusive brand NOYZ, whose Mylk de Parfum product combines fragrance and hydrating skincare and helped elevate NOYZ into the company's top 20 fragrance brands for the quarter. Management emphasized a proactive approach to strengthening the fragrance category through targeted investments, enhanced in-store experience, improved inventory availability, and capitalizing on key seasonal events. Ulta Beauty shares have lost 3.8% over the past year, and the stock currently carries a Zacks Rank of 3, or Hold.

Zacks Investment Research recommends five non-tech wide moat stocks for a stable portfolio in the second half of 2026. The picks are Caterpillar, Visa, Starbucks, Coca-Cola, and Estée Lauder, each carrying a Zacks Rank of 1 or 2. Caterpillar is benefiting from AI data-center power demand and plans to more than triple its Power Generation sales by 2030. Visa sees low-teens revenue growth for fiscal 2026, driven by payment volumes and AI-powered fraud prevention. Starbucks is advancing its turnaround plan with international comparable sales up 2.6% in the fiscal second quarter. Coca-Cola projects 4.8% organic revenue growth for 2026, supported by pricing and productivity. Estée Lauder expects earnings growth of 31.9% for the year ending June 2027, aided by its Profit Recovery Plan and digital expansion.

Zacks Equity Research has identified The Estee Lauder Companies, e.l.f. Beauty, Helen of Troy, and Nu Skin Enterprises as cosmetics stocks worth watching, citing favorable industry trends. The Zacks Cosmetics industry is benefiting from sustained demand for skincare, makeup, fragrance, and personal care products, driven by consumers' focus on self-care and wellness. Innovation in science-backed formulations and clean beauty, along with digital engagement tools, is fueling growth, though companies face cautious spending, elevated input costs, and supply-chain uncertainties. The industry carries a Zacks Industry Rank of 107, placing it in the top 43% of over 247 industries, and its consensus earnings estimate for the current fiscal year has risen 17% since early April 2026. Estee Lauder, rated Zacks Rank #2, has a consensus EPS estimate of $2.41 and its stock gained 17.1% over the past year; Helen of Troy, also Rank #2, has an EPS estimate of $3.44 and an 8.4% gain; Nu Skin, Rank #3, has an EPS estimate of $1.00 and a 35% decline; and e.l.f. Beauty, Rank #3, saw its EPS estimate drop 8.6% to $3.30 and its stock fall 46.7%.

The Estée Lauder Companies and Jo Malone London have launched Scent Scanner, a first-of-its-kind experience available exclusively on Pinterest and rolling out in the US and France. The tool analyzes the visual preferences expressed across a user's Pinterest boards to generate personalized Jo Malone London fragrance recommendations. Building on the brand's 2025 AI Scent Advisor, Scent Scanner shifts the discovery starting point from words to images, reading visual inspiration such as color palettes, textures, and aesthetics. Aude Gandon, Chief Digital and Marketing Officer at The Estée Lauder Companies, said the experience demonstrates how creativity and commerce can combine to make fragrance discovery more relevant and engaging. The launch reflects an ongoing collaboration between the companies to build digital commerce experiences that connect high-intent fragrance shoppers with seamless pathways from inspiration to purchase.