Estee Lauder price target lowered to $75 from $100 at BofA

BofA lowered the firm’s price target on Estee Lauder (EL) to $75 from $100 and keeps a Neutral rating on the shares. Annualizing the new 35c per share quarterly dividend and assuming Estee remains committed to a dividend payout ratio near 40% implies $1.2B of net income, or $3.50 per share of earnings power over time, says the analyst, who argues that it seems premature to “buy the dip” at this point with China still decelerating and uncertain and a new CEO starting in January.