Open Access. Powered by Scholars. Published by Universities.®
Articles 1 - 1 of 1
Full-Text Articles in Business
Beyond A Tube Of Red Lipstick: An Economic Valuation Of Estee Lauder And The Beauty Industry, Aisea Odencrantz, David Offenberg
Beyond A Tube Of Red Lipstick: An Economic Valuation Of Estee Lauder And The Beauty Industry, Aisea Odencrantz, David Offenberg
Honors Thesis
The current valuation of the beauty industry is approximately $532 billion, yet this industry is not commonly suggested by investment professionals as a way to add diversification into their investors’ portfolios. The current craze of the market is technology and fossil fuels, but the beauty industry has remained a major player in consumer spending patterns throughout time. Through examining the historical financial statements of the publicly-traded cosmetic conglomerate Estēe Lauder, as well as several of its competitors, I modeled the future valuation of Estēe Lauder using the Discounted Free Cash Flow and Comparable Firm Multiples models. This analysis demonstrated how …