KeyBanc has started coverage on Estee Lauder with a “Buy” rating and an $85 price target. This price target suggests a 15% upside.

According to the firm’s analyst Jason Gere: “EL offers a “best-in-class” portfolio of beauty / personal care brands that possesses strong strategic alignment and consistently targets / reaches out toward key consumer preferences / purchasing trends. Investors should recognize that FY15 represents a transitional year for EL as the impact of its streamlining initiative, unfavorable FX, and softer Chinese conditions are felt, though we see a strong case for a re-acceleration in top- and bottom-line growth into FY16 based upon the strength of EL’s product portfolio and margin progress, with potential for additional upside as its flexibility to deploy capital (i.e., M&A, share repurchases) is exercised. We believe EL’s growth story is deserving / supportive of its premium valuation.”

The company’s shares are down 4% YTD, but the stock is still trading close to all time highs. We view this stock as fairly valued based on its price and EPS, but it may need to make some acquisitions to grow.

Investors seeking exposure to EL may consider the funds below. These funds currently hold the largest stakes in the company.

By investing in one of the funds above, investors are able to gain exposure to a wide range of holdings and industries. Investors interested in EL may also be interested in Avon (AVP) and Unilever (UL).