ESTEE LAUDER COMPANIES-CL A (EL) Stock Fundamental Analysis

NYSE:EL • US5184391044

109.47 USD
-2.43 (-2.17%)
At close: Feb 27, 2026
109.47 USD
0 (0%)
After Hours: 2/27/2026, 8:04:00 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

4

We assign a fundamental rating of 4 out of 10 to EL. EL was compared to 37 industry peers in the Personal Care Products industry. There are concerns on the financial health of EL while its profitability can be described as average. EL is valied quite expensively at the moment, while it does show a decent growth rate.


Dividend Valuation Growth Profitability Health

5

1. Profitability

1.1 Basic Checks

  • In the past year EL was profitable.
  • EL had a positive operating cash flow in the past year.
  • EL had positive earnings in 4 of the past 5 years.
  • In the past 5 years EL always reported a positive cash flow from operatings.
EL Yearly Net Income VS EBIT VS OCF VS FCFEL Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 1B -1B 2B 3B

1.2 Ratios

  • The Return On Assets of EL (-0.91%) is comparable to the rest of the industry.
  • EL's Return On Equity of -4.42% is in line compared to the rest of the industry. EL outperforms 54.05% of its industry peers.
  • Looking at the Return On Invested Capital, with a value of 7.73%, EL is in the better half of the industry, outperforming 67.57% of the companies in the same industry.
  • Measured over the past 3 years, the Average Return On Invested Capital for EL is below the industry average of 11.09%.
  • The last Return On Invested Capital (7.73%) for EL is above the 3 year average (7.43%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA -0.91%
ROE -4.42%
ROIC 7.73%
ROA(3y)0.13%
ROA(5y)4.98%
ROE(3y)-1.32%
ROE(5y)17.24%
ROIC(3y)7.43%
ROIC(5y)11.04%
EL Yearly ROA, ROE, ROICEL Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 20 -20 40

1.3 Margins

  • EL has a Operating Margin of 9.59%. This is in the better half of the industry: EL outperforms 72.97% of its industry peers.
  • EL's Operating Margin has declined in the last couple of years.
  • EL has a better Gross Margin (74.33%) than 81.08% of its industry peers.
  • EL's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 9.59%
PM (TTM) N/A
GM 74.33%
OM growth 3Y-26.29%
OM growth 5Y-11.55%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.76%
GM growth 5Y-0.3%
EL Yearly Profit, Operating, Gross MarginsEL Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 20 40 60 80

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ROAROEROICOperating and Profit MarginShow most profitable peers

3

2. Health

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), EL is destroying value.
  • Compared to 1 year ago, EL has more shares outstanding
  • EL has less shares outstanding than it did 5 years ago.
  • Compared to 1 year ago, EL has a worse debt to assets ratio.
EL Yearly Shares OutstandingEL Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 100M 200M 300M
EL Yearly Total Debt VS Total AssetsEL Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B 15B 20B

2.2 Solvency

  • EL has an Altman-Z score of 3.45. This indicates that EL is financially healthy and has little risk of bankruptcy at the moment.
  • EL has a Altman-Z score of 3.45. This is in the better half of the industry: EL outperforms 70.27% of its industry peers.
  • EL has a debt to FCF ratio of 6.44. This is a slightly negative value and a sign of low solvency as EL would need 6.44 years to pay back of all of its debts.
  • EL's Debt to FCF ratio of 6.44 is in line compared to the rest of the industry. EL outperforms 59.46% of its industry peers.
  • EL has a Debt/Equity ratio of 1.82. This is a high value indicating a heavy dependency on external financing.
  • EL's Debt to Equity ratio of 1.82 is on the low side compared to the rest of the industry. EL is outperformed by 72.97% of its industry peers.
Industry RankSector Rank
Debt/Equity 1.82
Debt/FCF 6.44
Altman-Z 3.45
ROIC/WACC0.99
WACC7.82%
EL Yearly LT Debt VS Equity VS FCFEL Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 2B 4B 6B

2.3 Liquidity

  • A Current Ratio of 1.36 indicates that EL should not have too much problems paying its short term obligations.
  • Looking at the Current ratio, with a value of 1.36, EL is doing worse than 64.86% of the companies in the same industry.
  • EL has a Quick Ratio of 1.36. This is a bad value and indicates that EL is not financially healthy enough and could expect problems in meeting its short term obligations.
  • Looking at the Quick ratio, with a value of 1.00, EL is in line with its industry, outperforming 40.54% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 1.36
Quick Ratio 1
EL Yearly Current Assets VS Current LiabilitesEL Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B 8B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

4

3. Growth

3.1 Past

  • The earnings per share for EL have decreased strongly by -17.72% in the last year.
  • EL shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -18.22% yearly.
  • The Revenue has decreased by -3.35% in the past year.
  • The Revenue has been growing slightly by 0.04% on average over the past years.
EPS 1Y (TTM)-17.72%
EPS 3Y-40.77%
EPS 5Y-18.22%
EPS Q2Q%43.55%
Revenue 1Y (TTM)-3.35%
Revenue growth 3Y-6.88%
Revenue growth 5Y0.04%
Sales Q2Q%5.62%

3.2 Future

  • Based on estimates for the next years, EL will show a very strong growth in Earnings Per Share. The EPS will grow by 28.85% on average per year.
  • Based on estimates for the next years, EL will show a small growth in Revenue. The Revenue will grow by 4.55% on average per year.
EPS Next Y48.01%
EPS Next 2Y43.32%
EPS Next 3Y36.97%
EPS Next 5Y28.85%
Revenue Next Year4.56%
Revenue Next 2Y4.39%
Revenue Next 3Y4.48%
Revenue Next 5Y4.55%

3.3 Evolution

  • When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
EL Yearly Revenue VS EstimatesEL Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 5B 10B 15B
EL Yearly EPS VS EstimatesEL Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 2 4 6

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Find the best growth stocksShow best growing peers

3

4. Valuation

4.1 Price/Earnings Ratio

  • With a Price/Earnings ratio of 56.14, EL can be considered very expensive at the moment.
  • Compared to the rest of the industry, the Price/Earnings ratio of EL is on the same level as its industry peers.
  • When comparing the Price/Earnings ratio of EL to the average of the S&P500 Index (27.07), we can say EL is valued expensively.
  • EL is valuated quite expensively with a Price/Forward Earnings ratio of 35.53.
  • EL's Price/Forward Earnings ratio is in line with the industry average.
  • EL's Price/Forward Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 28.05.
Industry RankSector Rank
PE 56.14
Fwd PE 35.53
EL Price Earnings VS Forward Price EarningsEL Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40 50

4.2 Price Multiples

  • The rest of the industry has a similar Enterprise Value to EBITDA ratio as EL.
  • Compared to the rest of the industry, the Price/Free Cash Flow ratio of EL is on the same level as its industry peers.
Industry RankSector Rank
P/FCF 34.83
EV/EBITDA 19.77
EL Per share dataEL EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 10 20 30 40

4.3 Compensation for Growth

  • The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
  • EL's earnings are expected to grow with 36.97% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.17
PEG (5Y)N/A
EPS Next 2Y43.32%
EPS Next 3Y36.97%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

4

5. Dividend

5.1 Amount

  • EL has a Yearly Dividend Yield of 1.25%. Purely for dividend investing, there may be better candidates out there.
  • Compared to an average industry Dividend Yield of 1.61, EL pays a bit more dividend than its industry peers.
  • Compared to the average S&P500 Dividend Yield of 1.82, EL is paying slightly less dividend.
Industry RankSector Rank
Dividend Yield 1.25%

5.2 History

  • The dividend of EL has a limited annual growth rate of 4.31%.
  • EL has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)4.31%
Div Incr Years0
Div Non Decr Years0
EL Yearly Dividends per shareEL Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 0.5 1 1.5 2 2.5

5.3 Sustainability

  • The earnings of EL are negative and hence is the payout ratio. EL will probably not be able to sustain this dividend level.
  • The dividend of EL is growing, but earnings are growing more, so the dividend growth is sustainable.
DP-284.83%
EPS Next 2Y43.32%
EPS Next 3Y36.97%
EL Yearly Income VS Free CF VS DividendEL Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 1B -1B 2B

More info and screens

Find the best dividend stocksShow peers with best dividend

ESTEE LAUDER COMPANIES-CL A

NYSE:EL (2/27/2026, 8:04:00 PM)

After market: 109.47 0 (0%)

109.47

-2.43 (-2.17%)

Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupHousehold & Personal Products
GICS IndustryPersonal Care Products
Earnings (Last)02-05
Earnings (Next)05-01
Inst Owners91.48%
Inst Owner Change7.19%
Ins Owners0.12%
Ins Owner Change-16.5%
Market Cap39.60B
Revenue(TTM)14.67B
Net Income(TTM)-178.00M
Analysts73.14
Price Target109.5 (0.03%)
Short Float %3.49%
Short Ratio2.18
Dividend
Industry RankSector Rank
Dividend Yield 1.25%
Yearly Dividend1.72
Dividend Growth(5Y)4.31%
DP-284.83%
Div Incr Years0
Div Non Decr Years0
Ex-Date02-27
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)39.67%
Min EPS beat(2)3.39%
Max EPS beat(2)75.96%
EPS beat(4)4
Avg EPS beat(4)44.7%
Min EPS beat(4)0.44%
Max EPS beat(4)99.01%
EPS beat(8)8
Avg EPS beat(8)67.28%
EPS beat(12)11
Avg EPS beat(12)85.85%
EPS beat(16)15
Avg EPS beat(16)67.66%
Revenue beat(2)0
Avg Revenue beat(2)-1.44%
Min Revenue beat(2)-2.83%
Max Revenue beat(2)-0.06%
Revenue beat(4)0
Avg Revenue beat(4)-1.87%
Min Revenue beat(4)-2.83%
Max Revenue beat(4)-0.06%
Revenue beat(8)0
Avg Revenue beat(8)-2.05%
Revenue beat(12)1
Avg Revenue beat(12)-1.74%
Revenue beat(16)2
Avg Revenue beat(16)-1.86%
PT rev (1m)2.09%
PT rev (3m)7.14%
EPS NQ rev (1m)-12.36%
EPS NQ rev (3m)-11.65%
EPS NY rev (1m)0.34%
EPS NY rev (3m)0.87%
Revenue NQ rev (1m)-0.76%
Revenue NQ rev (3m)-0.65%
Revenue NY rev (1m)0.3%
Revenue NY rev (3m)0.67%
Valuation
Industry RankSector Rank
PE 56.14
Fwd PE 35.53
P/S 2.7
P/FCF 34.83
P/OCF 23.71
P/B 9.82
P/tB N/A
EV/EBITDA 19.77
EPS(TTM)1.95
EY1.78%
EPS(NY)3.08
Fwd EY2.81%
FCF(TTM)3.14
FCFY2.87%
OCF(TTM)4.62
OCFY4.22%
SpS40.55
BVpS11.14
TBVpS-4.98
PEG (NY)1.17
PEG (5Y)N/A
Graham Number22.11
Profitability
Industry RankSector Rank
ROA -0.91%
ROE -4.42%
ROCE 9.79%
ROIC 7.73%
ROICexc 9.85%
ROICexgc 20.39%
OM 9.59%
PM (TTM) N/A
GM 74.33%
FCFM 7.75%
ROA(3y)0.13%
ROA(5y)4.98%
ROE(3y)-1.32%
ROE(5y)17.24%
ROIC(3y)7.43%
ROIC(5y)11.04%
ROICexc(3y)9.5%
ROICexc(5y)14.82%
ROICexgc(3y)22.57%
ROICexgc(5y)33.9%
ROCE(3y)9.4%
ROCE(5y)13.97%
ROICexgc growth 3Y-33.25%
ROICexgc growth 5Y-18.06%
ROICexc growth 3Y-32.16%
ROICexc growth 5Y-18.64%
OM growth 3Y-26.29%
OM growth 5Y-11.55%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.76%
GM growth 5Y-0.3%
F-Score5
Asset Turnover0.75
Health
Industry RankSector Rank
Debt/Equity 1.82
Debt/FCF 6.44
Debt/EBITDA 3.3
Cap/Depr 65.72%
Cap/Sales 3.63%
Interest Coverage 4.11
Cash Conversion 75.33%
Profit Quality N/A
Current Ratio 1.36
Quick Ratio 1
Altman-Z 3.45
F-Score5
WACC7.82%
ROIC/WACC0.99
Cap/Depr(3y)208.69%
Cap/Depr(5y)173.4%
Cap/Sales(3y)10.24%
Cap/Sales(5y)8.1%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-17.72%
EPS 3Y-40.77%
EPS 5Y-18.22%
EPS Q2Q%43.55%
EPS Next Y48.01%
EPS Next 2Y43.32%
EPS Next 3Y36.97%
EPS Next 5Y28.85%
Revenue 1Y (TTM)-3.35%
Revenue growth 3Y-6.88%
Revenue growth 5Y0.04%
Sales Q2Q%5.62%
Revenue Next Year4.56%
Revenue Next 2Y4.39%
Revenue Next 3Y4.48%
Revenue Next 5Y4.55%
EBIT growth 1Y-5.06%
EBIT growth 3Y-31.36%
EBIT growth 5Y-11.51%
EBIT Next Year112.37%
EBIT Next 3Y39.86%
EBIT Next 5Y26.64%
FCF growth 1Y176.82%
FCF growth 3Y-30.55%
FCF growth 5Y-16.56%
OCF growth 1Y-12.88%
OCF growth 3Y-25.21%
OCF growth 5Y-11.02%

ESTEE LAUDER COMPANIES-CL A / EL FAQ

What is the ChartMill fundamental rating of ESTEE LAUDER COMPANIES-CL A (EL) stock?

ChartMill assigns a fundamental rating of 4 / 10 to EL.


What is the valuation status for EL stock?

ChartMill assigns a valuation rating of 3 / 10 to ESTEE LAUDER COMPANIES-CL A (EL). This can be considered as Overvalued.


What is the profitability of EL stock?

ESTEE LAUDER COMPANIES-CL A (EL) has a profitability rating of 5 / 10.


What is the valuation of ESTEE LAUDER COMPANIES-CL A based on its PE and PB ratios?

The Price/Earnings (PE) ratio for ESTEE LAUDER COMPANIES-CL A (EL) is 56.14 and the Price/Book (PB) ratio is 9.82.


Can you provide the dividend sustainability for EL stock?

The dividend rating of ESTEE LAUDER COMPANIES-CL A (EL) is 4 / 10 and the dividend payout ratio is -284.83%.