Estée Lauder Stock Plummets; May Acquire Spanish Beauty Company Puig

GateUser-bd883c58 · 2026-03-25T16:26:01+00:00

Estée Lauder stock plunged 7.7% following news of its acquisition of Spanish beauty company Puig. Despite the CEO's optimistic outlook on the transformation strategy, recent earnings guidance failed to gain investor approval. The CEO acknowledged that the company still has work to do. The merger will create a beauty giant with annual sales of approximately $20 billion.

GateUser-bd883c58

2026-03-25 16:26:01

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Estée Lauder’s stock price plummeted, possibly leading to the acquisition of Spanish beauty company Puig. Caixin, March 24 — Estée Lauder’s stock fell sharply, closing down 7.7% in New York. Previously, there were reports that the company was close to completing a deal to acquire Spanish beauty brand Puig. Both companies confirmed they are in negotiations regarding the merger but did not provide further details. Sources said the deal could be announced as early as Monday. The specifics of the potential transaction are unknown. This merger would create a beauty giant with annual sales of about $20 billion. Over the past year, Estée Lauder’s stock has risen, and investors are optimistic about the transformation strategy led by CEO Stephane de la Faverie. However, the company’s recent upward revision of earnings guidance did not satisfy investors. De la Faverie admitted during an analyst call, “There is still more work to do.”

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