BUZZ-Street View: Estee Lauder's road to recovery

Cosmetics company Estee Lauder EL.N on Tuesday announced plans of up to 7,000 job cuts as it expands its restructuring plans in face of persistent demand weakness, while Q3 profit forecast miss estimates

At least seven brokerages cut PT on stock

NEW MANAGEMENT, NEW STRATEGY

Jefferies ("hold" PT cut by $5 to $70) believes co's innovation-centric plans, though not a new goal, will be followed through by new management

Telsey Advisory Group ("market perform", PT: 76) says co is now looking to new CEO Stéphane de La Faverie to reinvigorate performance, get back to sustainable growth path

Stifel, ("hold", PT cut by $4 to $77) however, is, underwhelmed by updated leadership, says it could add complexity at a time when faster decision-making is needed; suggests brand divestitures

TD Cowen ("hold", PT cut by $8 to $72) says co must focus on cost efficiency, marketing for younger demographics, and on-trend and streamlined product innovation

BofA ("neutral", PT cut by $5 to $85) thinks earnings recovery depends on sustained improvement in U.S., notes management's strategy suggests a more active approach on the same