US Stock Market Move | Full-year performance guidance falls below expectations, Estee Lauder Companies Inc. Class A (EL.US) plunges nearly 20%

On Thursday, Estee Lauder Companies Inc. Class A (EL.US) plummeted nearly 20%, after rising by 44% in the past year, and is now trading at $96.49. In terms of news, Estee Lauder Companies Inc. Class A announced its second quarter financial performance for the fiscal year 2026, with sales of $4.23 billion, in line with analysts' expectations; adjusted earnings per share were $0.89, exceeding analysts' expectations of $0.83. However, the company is increasing marketing expenses for brand restructuring and continuing to address cost pressures from tariffs, further squeezing profit margins and affecting full-year profit expectations. The full-year net sales growth guidance is 3% to 5%, with the midpoint of 4% below analysts' expectations of 4.3%; adjusted earnings per share guidance is $2.05 to $2.25, with the midpoint of $2.15 also below the expected $2.16.