Estee Lauder price target lowered to $85 from $100 at Morgan Stanley

Morgan Stanley analyst Dara Mohsenian lowered the firm’s price target on Estee Lauder (EL) to $85 from $100 and keeps an Equal Weight rating on the shares. A Q1 beat was overshadowed by below consensus Q2 guidance, withdrawn second half guidance, and a dividend cut, says the analyst, who contends that “visibility is very low here” and awaits potential strategy changes and any incremental productivity plans from the incoming new C-suite, which the firm thinks needs to include an expanded restructuring plan in which Estee addresses its high cost structure.