The Estée Lauder Companies Inc
Investors that purchased the Company’s securities and have suffered a loss, please fill in transaction information below, or email to info@portnoylaw.com.
There is no cost or obligation associated with submitting your information. If you are a shareholder who suffered a loss, please submit your contact information and purchase information to participate in the putative class action.
We also encourage you to contact Lesley F. Portnoy of The Portnoy Law Firm, at 310.692.8883, to discuss your rights free of charge. You can also reach us through the firm’s website at www.portnoylaw.com, or by email at info@portnoylaw.com.
If you choose to take no action, you can remain an absent class member.
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The Portnoy Law Firm represents investors around the world and specializes in securities class action lawsuits and shareholder rights litigation.
CONTACT:
Portnoy Law Firm
Lesley F. Portnoy, Esq.,
www.portnoylaw.com
Office: 310.692.8883
1800 Century Park East, Suite 600
Los Angeles, CA 90067
info@portnoylaw.com
The complaint against Estée Lauder details the company’s global operations in manufacturing, marketing, and selling skin care, makeup, fragrance, and hair care products under various renowned brands. Estée Lauder products are sold through diverse channels including department stores, specialty retailers, perfumeries, pharmacies, salons, spas, its own and authorized retailer websites, online malls, airport stores, and duty-free locations.
The defendants provided investors with material information regarding Estée’s revenue expectations for the full year of 2023. This included information about the company’s efforts to improve its cost structure, its strong pricing power, and robust cash generation. Based on these factors, Estée forecasted a net sales increase of 3% to 5% over the previous year, projected reported diluted net earnings per share to be between $7.11 and $7.33, and expected adjusted diluted earnings per share to grow between 5% and 7% on a constant currency basis.
However, on May 3, 2023, Estée Lauder announced in a press release that its sales and profits for the year were weaker than previously estimated. Consequently, the company reduced its fiscal year outlook for the third consecutive time. This downward revision in guidance was attributed to challenges in the Asia travel retail business, which was recovering more slowly than anticipated from the COVID pandemic.
Following this announcement, Estée Lauder’s share price dropped significantly, falling $42.52, or 17.33%, to close at $202.70 per share on May 3, 2023.
