Revlon, Inc.
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Which Cosmetic Company Will Conquer Emerging Markets?
By Damian Illia - May 15, 2013 | Tickers: AVP, REV, EL
Competition in the cosmetics industry is getting tough. There is an ongoing race taking place among the largest companies in order to gain presence in the developing world, where markets still grow. Let’s analyze the strategy and performance of three players in the industry.
Avon: Promising new fiscal year
Avon (NYSE: AVP) is the world’s largest direct seller, providing cosmetics, fragrances, toiletries, jewelry, and accessories through 6.2 more »
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Selling the Sizzle and Sell the Fizzle
By AnnaLisa Kraft - May 15, 2013 | Tickers: RDEN, PG, REV, EL
According to a French scientific abstract, women use make-up for two completely different reasons, camouflage or seduction. Whatever the reason, beauty is a multi-billion dollar business globally and investors should get in on the action. Markup on cosmetics and fragrances can range from 15% to several hundred percent.
There is barely an inch of a woman's exterior body that some potion can't "improve," from the size of pores more »
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Why is the Market in Love With This Beauty Play?
By Lee Samaha - May 13, 2013 | Tickers: PG, REV, EL
To be or not to be? To buy or not to buy? That is our question with The Estee Lauder Companies (NYSE: EL). Whether it is nobler in the mind to suffer not buying a stock that that the market loves, or to take arms against a high valuation, revenue forecasts at the bottom end of guidance, and a management initiative that thus far isn’t quite going as planned more »
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Love and the Pursuit of Happiness: Themes for Your Portfolio
By AnnaLisa Kraft - May 9, 2013 | Tickers: REV, RST, LOV, WTW
Several recurring themes came out from the Value Investing Congress just ended in Las Vegas but the most interesting was that of meeting higher order needs, like love and self-improvement, with four names recommended as longs, Rosetta Stone (NYSE: RST), Revlon (NYSE: REV), Spark Networks (NYSEMKT: LOV), and Weight Watchers (NYSE: WTW) and one name, quelle surprise, recommended as a short, who else but Herbalife.
If the economy is indeed more »
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Will Pitching Camp in Troy Yield Profits?
By Arturo Cuevas - May 8, 2013 | Tickers: HELE, PG, REV
Like the “face that launched a thousand ships” that this company conjures, Helen of Troy (NASDAQ: HELE) has an equity worth more than a cursory look. I won’t dare to venture on its entire product line, as this would entail a Homeric odyssey of non-durable consumer goods with multiple brands, not a few of which curiously rhyme with Ajax, Achilles, and Agamemnon. Suffice it to say that this company more »
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Asia-Pacific to Drive Estée Lauder’s Future Growth
By Ashit Gulati - March 23, 2013 | Tickers: AVP, REV, EL
During 2012, Estee Lauder’s (NYSE: EL) sales grew by 5%, driven primarily by prestige skin care and makeup products. The demand for such products grew significantly in US and the Asia-Pacific regions. Both regions are considerable contributors to Estee Lauder’s overall revenues, as sales from US and Asia-Pacific regions constitute 40% and 20% of revenues respectively. Going forward, reaching into smaller Chinese cities through its e-commerce platform will more »
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Is This Cosmetics Company Attractive After a 1,000% Gain?
By Anh HOANG - March 20, 2013 | Tickers: AVP, LRLCY.PK, REV
Shareholders of Revlon (NYSE: REV) must be quite happy, as its share price just shot up by more than 50%, from around $15 per share to more than $22.60 per share since the beginning of the year. If investors grabbed Revlon’s shares at the bottom of 2009 at $2.60 per share, they would have seen a gain of 1,000% within just four years. Is Revlon a more »
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Avon Might Reach $25 In Two Years
By Anh HOANG - February 26, 2013 | Tickers: AVP, REV, TUP
In a previous article, I talked about PNC Financial Services, a financial services firm that Brian Rogers, chairman and chief investment officer of T. Rowe Price, recommended at the 2013 Barron’s Roundtable. In this article, I will focus on another stock that he liked: Avon Products (NYSE: AVP), the direct selling company with beauty and fashion-related products.
2012 Losses With High Amount of Debt
Avon, incorporated in 1916, is more »
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One Multi Level Marketer Is On A Tear
By Marshall Hargrave - February 21, 2013 | Tickers: AVP, NUS, REV, EL
Despite the turmoil surrounding multi-level marketing companies, with billionaire Bill Ackman launching an offensive against Herbalife, Avon (NYSE: AVP) saw its stock up 20% after its earnings announcement. Avon investors took the numbers as “stabilizing” and a sign that restructuring might be taking hold for the company, but is it too rich for investors to buy in now? I wouldn't go that far (read more about the earnings over more »
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Can Cosmetics Cover Our Flaws?
By Tyler Wofford - February 6, 2013 | Tickers: AVP, RDEN, REV, EL
There are a few things that people are well aware of in regards to make up. 1) Most women wear it, whether they have "blemishes" or not. 2) Most men say they are attracted to "natural beauty," but freak out when they see a woman with no makeup on. 3) Married men hate how expensive these little containers are. These, however, are not what we are here to discuss. What more »
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Is it Time to Buy Avon Now?
By Tedra DeSue - January 5, 2013 | Tickers: AVP, REV, EL
You may remember when Avon Products (NYSE: AVP) was trading as high as about $23 a share last spring, partly buoyed by a $10.7 billion, unsolicited offer to buy it out by rival Coty. However, Avon snubbed the offer, knowing full well that its finances were in disarray, which was clearly reflected in its lackluster stock performance.
Determined to right its financial ship on its own, Avon, with a more »
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AVON: Will Take Time to Makeup
By Rahul Baid - December 19, 2012 | Tickers: AVP, REV
After what seemed like an eternity of self inflicted horrors there is some light visible (apparently) at the end of the tunnel for Avon (NYSE: AVP). With a new CEO in place and a more focused strategy the company is looking forward to a makeover and like any other transformation this one will also require time and patience. Also, it is somewhat assuring to see that management is almost adamant more »
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Revamp Your Portfolio With Beauty
By Gaurav Jain - December 18, 2012 | Tickers: AVP, PG, REV, EL
Avon (NYSE: AVP), the manufacturer and direct seller of beauty, fashion and home products, might just be the right stock to add zing to your portfolio. It is the fifth-largest beauty company and largest direct selling enterprise in the world, with 6.4 million representatives. Yes the general consensus is negative for Avon because of the sliding profits, 4 year pending legal probe, and some not so good business strategies more »
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Why this Costmetic Company Should Accept its Fate
By Palwasha Saaim - December 17, 2012 | Tickers: AVP, LRLCY.PK, REV, EL, TUP
Avon Products (NYSE: AVP), the largest direct-selling cosmetics manufacturer in the US, made headlines again with more bad news. 2012 has been a year of bad omens for the company--declining sales, hiking costs, bribery investigations, faltering interest of active representatives, quarter after quarter of earnings misses, executives resigning, the CEO stepping down, and now structural changes under the new leadership.
The company has announced that it will be exiting two more »
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Finding Future M&A Candidates
By Federico Zaldua - November 13, 2012 | Tickers: AVP, REV, EL
Avon (NYSE: AVP), the makeup company, has been going through some trouble and at around 15 USD (13% down this year and 39% down in 2011) the stock price reflects the pain operations have suffered. That said, and even though with somewhat disappointing Q3 results – operating profits after taking out of the picture impairments and restructuring costs fell strongly in every region where the company operates- I believe there is more »
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This Company is Still in Hot Water
By Palwasha Saaim - October 19, 2012 | Tickers: AVP, PG, REV, EL
When I first started watching Avon Products (NYSE: AVP) four months ago, the stock was trading between $14-$15. I made a bearish call on it, assuming that there would be no change in the company's management, business style, or influence of external factors. But the four months that followed brought some good news for the company and some bad that apparently got outweighed.
Avon's former CEO Andrea more »
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Avon Faces the Winds of Change
By Gargi Banerjee - October 11, 2012 | Tickers: AVP, LRLCY.PK, REV
The only thing constant about life is change. The recent shift of management at beauty products seller Avon Products (NYSE: AVP) bears testimony to that very fact. The company will start a new chapter as the era of the popular Andrea Jung, former CEO, present executive chairman and member of the board in the company steps down on December 31 to stay on as a senior advisor. Although, the decision more »
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Home and Fashion Outperform Makeup Sales for Avon! Huh
By Tedra DeSue - August 6, 2012 | Tickers: AVP, LRLCY.PK, REV, EL
A cosmetics company whose home and fashion division outperforms its makeup division! This may seem like some kind of anomaly, but that was exactly the case with Avon Products (NYSE: AVP) when it came to its average orders in North America during the second quarter of this year. Still, the company's global revenue growth is slowing considerably, causing many worries about how the company can recover and restore investor more »
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Estee Lauder and the Cosmetics Market
By Lee Samaha - May 9, 2012 | Tickers: AVP, IFF, NUS, REV, EL |
In summary, I think there are attractive reasons to hold Estee Lauder (NYSE: EL) but on a risk/reward basis the stock is hardly a good value. That may seem a glib observation and, it doesn’t take much to look at a stock on a PE of 28 and say it's ‘overvalued, but that shouldn’t detract from the subtle complexity of the underlying profit drivers here. Many more »
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Coty Bids for Avon
By Meena Krishnamsetty - April 10, 2012 | Tickers: AVP, IPAR, REV, EL
Last week, Coty Inc. announced its intent to acquire Avon Products (NYSE: AVP) for $23.25 per share. The offer represents a ~20% premium over the closing price on March 30 and is an all cash deal. AVP rejected the offer, citing undervaluation. Coty has shown that it is willing to “consider increasing its price if Avon can demonstrate that there is greater value.” AVP has had its share of more »
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