• Wall Street consensus : 0.46
• StockScouter rating : 7 / 10
• Whisper Number for this stock : N/A
• Schaeffer rating for this stock : 6 / 10
• Power Rating : 6 / 10
• Insider Trading (last 52 weeks) : (104.74 Million)
• Zacks Analysts Rating: Hold
• Option Trading: July 2007 50.00 Call
• Implied Volatility (IV) for June 2007 $50.00 Strike : 26.94%

Sales, Income & Growth – For the past 12-months, Estee Lauder registered $6.77 Billion in sales versus the industry’s $9.21 Billion. Income amounted to $378.80 Million against the industry’s $845.82 Million. While Estee Lauder’s 12-months sales growth is at 9.3%, the income growth is in 25.60% (the same industry sector sales growth is at 9.30% and income growth of 22.40%).

Profitability & Financial Health – For the past 12-months, net profit margin is in the region of 5.8%. Estee Lauder has a debt/equity ratio of 0.39 compare to industry’s ratio of 1.88.

Stock Resistance & Support Level – The resistance is at 52.31 (52-week high) while the first level support is at 48.85 (50-day moving average).

Risks – The price-to-earnings multiple is higher than the average and Shares are being heavily sold by financial institutions.

Avon Products Inc. (NYSE: AVP, stock), the world’s largest direct seller of cosmetics, on Tuesday reported better-than-expected first-quarter profits, boosted by strong sales in China and Russia. The company earned $150 million, or 34 cents a share in the first quarter ended Mar 31 against Reuters estimate of 28 cents a share. Sales in China grew 44 percent. In Central and Eastern Europe sales increased 17 percent helped by strong sales in perfumes and color cosmetics and a 30-percent revenue growth in Russia.

Avon shares trade at about 25.7 times compared with a multiple of about 22.8 for rival Estee Lauder Companies Inc. (NYSE: EL, stock). Recently it issued in an offering $300 million of its 5.55 percent senior notes due 2017 and $300 million of its 6 percent senior notes due in 2037. Based on the performance of Avon, I expect the number to be reported by Estee Lauder should be as impressive.

In the meantime, based on the 45-minutes trading chart of Polo Ralph Lauren Corp. (NYSE: RL, stock), I think I’m going to scalp this stock to make some pocket money.

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May 2nd, 2007 by financetwitter

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