Why Estee Lauder Plunged This Week
Shares of makeup conglomerate Estee Lauder (NYSE: EL) plunged 23% through Thursday trading this week, according to data from S&P Global Market Intelligence.
The company reported earnings on Tuesday, and while reported results actually beat expectations, they still showed declining revenue and profits. Moreover, management forecast continued declines for the March quarter.
New CEO Stéphane de La Faverie also announced a shakeup of the business called "Beauty Reimagined." While a major restructuring may be warranted, it could also be a sign of significant problems that need to be remedied and could take time.
Source Fool.com
