# The Estee Lauder Companies Inc. (EL) fundamentals

Data as of 2026-11-04. NYSE, United States. Sector: Consumer Defensive / Personal Care. Price $105.39, market value $38.2 billion.

## Valuation
- **P/E (trailing): 105.4×** (5-yr avg 88.9×, 3-yr avg 126.4×). The Estee Lauder Companies Inc. trades at 105.4× trailing earnings, close to its own five-year average of 88.9×. The Consumer Defensive median in the September 2026 study was 20.1×. Forward P/E is 26.2×, lower than trailing, so analysts expect earnings to grow.
- **PEG: 0.23**. A PEG of 0.23 means the P/E is low relative to expected earnings growth: the market is not paying much for that growth.
- **Price / sales: 2.5×**. Each dollar of revenue is priced at 2.5×.
- **Price / book: 9.5×**. The shares trade at 9.5× book value; most of the value is in earnings power and intangibles rather than the balance sheet.
- **EV / EBITDA: 25.2×**. Enterprise value is 25.2× operating earnings before depreciation, the multiple that ignores how the company is financed; above 20× is demanding.
- **Free-cash-flow yield: 4.0%** (5-yr avg 2.8%). Free cash flow equals 4.0% of the market value, above its five-year average of 2.8%, so the shares are cheaper on cash than they have usually been.
- **Earnings yield: 0.9%**. The inverse of the P/E: 0.9% of the price is earned each year.

## Profitability
- **Gross margin: 76.0%**. The Estee Lauder Companies Inc. keeps 76.0% of revenue after the direct cost of what it sells, the kind of margin that comes with software, brands or pricing power.
- **Operating margin: 6.7%**. 6.7% of revenue is left after running the business.
- **Net margin: 1.2%**. 1.2% of each dollar of sales reaches the bottom line.
- **Return on equity: 4.8%**. 4.8% on shareholders' equity is weak; the business earns little on the capital its owners have in it.
- **Return on invested capital: 7.2%**. Return on all capital, debt included, is 7.2%.
- **Return on assets: 1.9%**. Each dollar of assets produces 1.9% of profit.

## Growth
- **Revenue growth (1 yr): 5.0%** (3-yr -1.8%/yr, 5-yr -1.5%/yr). Revenue grew 5.0% over the last year, against -1.5% a year compounded over five years: growth is accelerating.
- **EPS growth (1 yr): 115.9%** (3-yr -43.6%/yr, 5-yr -42.3%/yr). Earnings per share rose 115.9%, faster than revenue, so margins expanded or the share count shrank.
- **Free-cash-flow growth (3 yr): 21.8%/yr**. Free cash flow has compounded at 21.8% a year over three years, keeping pace with earnings: the growth is real cash.

## Financial health
- **Debt to equity: 1.92**. Debt is 1.92 times equity, a leveraged balance sheet that needs steady cash flow to service.
- **Current ratio: 1.22** (quick 1.22). Current assets cover the next year's liabilities 1.22 times.
- **Piotroski F-score: 7/9**. 7 of 9 fundamental checks pass: strong and improving financials.

## Dividends
- **Dividend yield: 1.33%** ($1.05 per share, trailing). The Estee Lauder Companies Inc. yields 1.33%, a modest yield more typical of a growth-oriented payer.
- **Payout ratio: 279%** (33% of free cash flow). The dividend exceeds earnings (279% payout), though free cash flow still covers it.
- **Dividend growth (5 yr): -1.2%/yr** (1-yr -39.9%). The dividend has not grown over five years.

## Analyst view
- **Analyst consensus: buy** (27 analysts). 27 analysts cover The Estee Lauder Companies Inc.; the consensus is buy, with an average price target of $110.32 (+5% from the current price). Analyst opinion is shown for context; it is not part of the Fundamental Score.

## Price and momentum
- **Total return (1 yr): 9.5%** (YTD 0.7%, 3-mo 23.7%). The shares are up 9.5% over twelve months including dividends.
- **From 52-week high: -13.4%** (59.2% above the low). Trading 13% below its 52-week high.
- **200-day average: above**. The price sits above its 200-day moving average, the usual definition of an uptrend.
- **RSI (14-day): 54**. An RSI of 54 is neutral.
- **Beta (1 yr): 1.32** (volatility 48%). Beta of 1.32 against the S&P 500: the shares move much more than the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=EL · Page: https://foliofundamentals.com/stocks/el

Not investment advice.