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Estée Lauder lays off 2,600 workers, out of its 7,000 target, as sales drop - MarketWatch

1. Estée Lauder plans to cut up to 7,000 jobs, including 2,600 already cut. 2. Third-quarter sales fell 10%, with profits dropping 42% year-over-year. 3. Company's gross margins improved by 310 basis points due to cost-saving measures. 4. Global travel retail sales expected to decline further amid weak consumer sentiment. 5. Adjusted EPS estimates for 2025 are down from $2.59 to $1.39 according to analysts.

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FAQ

Why Bearish?

This shows long-term weakness in sales, despite some cost-cutting benefits. Historically, stock performance declines often correlate with persistent revenue drops.

How important is it?

The article addresses significant restructuring and financial indicators that typically impact stock prices directly.

Why Long Term?

Job cuts and declining sales will affect EL's operations and investor confidence in the long-term. Previous restructurings have taken time to yield benefits.

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