Estée Lauder shares on discount
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Estée Lauder's stock plummeted Thursday after the beauty company withdrew its fiscal year outlook and cut its dividend.
The big picture: The retailer is getting roughed up in China, saying "worsened consumer sentiment" there was the primary driver of its 5% quarterly decline in overall organic net sales.
The intrigue: The company on Wednesday announced the promotion of Stéphane de La Faverie to the CEO role, succeeding Fabrizio Freda.
- And WSJ reported Jane Lauder, "who was passed over for the CEO job," is leaving her executive post while her cousin and executive chair William Lauder is moving to nonexecutive chairman, meaning "no Lauder family member will have a senior executive role."
💭 Our thought bubble via Axios Pro's Kimberly Chin: The legacy beauty company is in need of a revamp — of its product lines as well as getting the business into the digital age — in order to soothe investor concerns over its future.
The impact: Estée Lauder stock closed down 20.9%.
