Estée Lauder Companies vs Constellation Brands
Estée Lauder Companies vs Constellation Brands compares two consumer-focused groups to illuminate differing business models, financial performance, and market context. This page presents objective insights into strategy, earnings patterns, and industry positioning, helping readers understand contrasts and similarities without speculation. Educational content, not financial advice.
Estée Lauder Companies vs Constellation Brands compares two consumer-focused groups to illuminate differing business models, financial performance, and market context. This page presents objective ins...
Why It's Moving
EL Stock Warning: Why Analysts See Downside Risk Despite Earnings Beat and Raised Outlook
- Q2 EPS hit $0.89, topping $0.83 consensus by 7%, with operating income jumping to $608 million adjusted on PRGP savings funding consumer investments.
- Fiscal 2026 guidance lifted to 3-5% sales growth and $2.05-$2.25 EPS, signaling first organic sales rebound in years, but flagged $100 million tariff hit and travel retail weakness.
- Analysts mixed: Citigroup upgraded to Buy at $120, but Wells Fargo and JP Morgan cut targets to $105-$121, consensus at $108 with 'Hold' rating amid recent 16% weekly drop.
STZ Dips After Q3 Earnings as Investors Weigh Mixed Signals from Beer and Wine Segments
- Beer segment showed resilience with steady volumes, but wine and spirits faced pressure, contributing to the post-earnings pullback.
- Strong cash flow supported $604 million in share repurchases over nine months, underscoring disciplined capital allocation amid sector headwinds.
- Elevated trading alerts and a peak intraday swing of +3.4% signal investor debate over leverage and growth priorities heading into 2026.
EL Stock Warning: Why Analysts See Downside Risk Despite Earnings Beat and Raised Outlook
- Q2 EPS hit $0.89, topping $0.83 consensus by 7%, with operating income jumping to $608 million adjusted on PRGP savings funding consumer investments.
- Fiscal 2026 guidance lifted to 3-5% sales growth and $2.05-$2.25 EPS, signaling first organic sales rebound in years, but flagged $100 million tariff hit and travel retail weakness.
- Analysts mixed: Citigroup upgraded to Buy at $120, but Wells Fargo and JP Morgan cut targets to $105-$121, consensus at $108 with 'Hold' rating amid recent 16% weekly drop.
STZ Dips After Q3 Earnings as Investors Weigh Mixed Signals from Beer and Wine Segments
- Beer segment showed resilience with steady volumes, but wine and spirits faced pressure, contributing to the post-earnings pullback.
- Strong cash flow supported $604 million in share repurchases over nine months, underscoring disciplined capital allocation amid sector headwinds.
- Elevated trading alerts and a peak intraday swing of +3.4% signal investor debate over leverage and growth priorities heading into 2026.
Investment Analysis
Pros
- Estée Lauder reported Q4 EPS above expectations, showing resilience in a challenging prestige beauty market.
- The company expanded gross margins by 230 basis points, reflecting improved cost management and operational efficiency.
- China sales are stabilising with signs of market share gains, offering potential for future revenue recovery.
Considerations
- Organic sales declined by 8% for the full fiscal year, indicating persistent demand headwinds in key markets.
- Operating margin contracted by 220 basis points, highlighting ongoing profitability pressures despite margin improvements.
- Stock price remains volatile, with recent declines despite earnings beats, reflecting investor concerns over growth prospects.
Pros
- Constellation Brands benefits from exclusive US rights to high-growth Mexican beer brands like Corona and Modelo.
- The company operates with best-of-breed margins and is well-positioned to capitalise on strong secular beverage trends.
- Shares trade at a notable discount to fair value estimates, suggesting potential upside for value-oriented investors.
Considerations
- Recent quarterly EPS declined by 16%, reflecting short-term profitability challenges in the beverage segment.
- The business faces evolving industry dynamics, including shifting consumer preferences and competitive pressures.
- Exposure to regulatory and macroeconomic risks in the alcohol sector could impact future growth and margins.
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Estée Lauder Companies (EL) Next Earnings Date
The next earnings date for Estée Lauder (EL) is scheduled for April 30, 2026, where the company will report results for Q3 2026. This earnings call will provide executives' discussion of financial results and forward guidance for the period. The company most recently reported Q2 2026 earnings on February 5, 2026, posting an EPS of $0.89, which exceeded analyst expectations of $0.83.
Constellation Brands (STZ) Next Earnings Date
Constellation Brands' next earnings report is scheduled for April 8, 2026, covering the company's fourth quarter of fiscal 2026. The earnings release will be followed by a conference call with company leadership to discuss financial results and business outlook. This represents the typical quarterly reporting cadence for the company based on its historical schedule.
Estée Lauder Companies (EL) Next Earnings Date
The next earnings date for Estée Lauder (EL) is scheduled for April 30, 2026, where the company will report results for Q3 2026. This earnings call will provide executives' discussion of financial results and forward guidance for the period. The company most recently reported Q2 2026 earnings on February 5, 2026, posting an EPS of $0.89, which exceeded analyst expectations of $0.83.
Constellation Brands (STZ) Next Earnings Date
Constellation Brands' next earnings report is scheduled for April 8, 2026, covering the company's fourth quarter of fiscal 2026. The earnings release will be followed by a conference call with company leadership to discuss financial results and business outlook. This represents the typical quarterly reporting cadence for the company based on its historical schedule.
Which Baskets Do They Appear In?
Reputation Shields
Invest in companies with brands so powerful they're practically bulletproof. These carefully selected stocks represent iconic names with decades of consumer trust, giving them unique protection against scandals and market turbulence that would devastate lesser companies.
Published: June 17, 2025
Explore BasketWhich Baskets Do They Appear In?
Reputation Shields
Invest in companies with brands so powerful they're practically bulletproof. These carefully selected stocks represent iconic names with decades of consumer trust, giving them unique protection against scandals and market turbulence that would devastate lesser companies.
Published: June 17, 2025
Explore BasketBuy EL or STZ in Nemo
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