The 56-year-old singer said: "I'm not going to give up show business but I'm going to give up touring because, you know, there are all of these young girls coming out, like Britney (Spears) and J Lo."
As the crowd booed, Cher reportedly smirked and added: "I know - they are hos, aren't they?"
Cher was speaking in front of 20,000 fans in Auckland, New Zealand, during the final leg of her Living Proof farewell tour, which is now into its third year.
A spokesman for Spears and Lopez reportedly said: "For someone who has had their fair share of bad press, it is surprising she would comment on two women she hardly knows."