Estee Lauder Companies (EL)

As pressures from the economic downturn recede, continued weakness in the dollar and the return of duty-free shopping have helped raise EL's outlook for the year. EL's strong reputation, brand recognition, and steady performance throughout the recession has also allowed it to gain market share from reduced competition in the industry. Analysts from BofA, Piper Jaffray, etc. have upgraded EL on recent outlook after higher-than-expected earnings were released for Q1 2010.

In its fiscal Q1 2009, ended September 30, 2008, EL reported net earnings of $51.1 million, an increase of 31% from its prior-year quarter. The strong sales figures from this quarter are due to EL's strong performance in its cosmetics segments in emerging markets, especially in China.

Estee Lauder, EL's flagship brand, announced in November 2009 that it has hired world-renowned makeup artist Tom Pecheux as its new Creative Makeup Director. Under Pecheux's direction, new product lines will launch in Sprin 2010, along with a new advertising campaign. Pecheux's extensive experience and reputation in the industry brings added prestige and brand power to EL's new product line.