$EL
Added 2024-09-27 10:51:58 +0000 UTCI highlighted this yesterday because there has been a large bounce right up to the channel line as the market is clearly searching for undervalued beaten down positions in this current optimistic wave....$DIS, $INTC, $NKE, $BABA, $PYPL etc are all getting their rightful attention right now.
$EL is a legacy sector leader and it is a not a surprise to see Buffett add $ULTA to his portfolio, it is widely know that lipstick sales increase during a recession, people prioritise on the basics....I'd love to delve further into the psychology of this because it seems fascinating....that being said, there is value on the table here, after a strong ABC decline from $374 to $100 now.
I think a run up to $120 is possible this year if there is a breakout and hold above $100 but I would need to see more earnings reports to believe it can go as high as its 200 WMA at $225 over the next year.
2.88% dividend is paid here too.
Comments
In recession people spend on affordable luxuries. It’s like how a $100 Hermes purchase still comes with the orange bag.
Chris H
2024-09-27 12:08:58 +0000 UTC
