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

NYSE:EL • US5184391044

108.24 USD
+1.82 (+1.71%)
At close: Feb 13, 2026
107.53 USD
-0.71 (-0.66%)
Pre-Market: 2/17/2026, 8:15:00 AM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

4

EL gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 36 industry peers in the Personal Care Products industry. EL has a medium profitability rating, but doesn't score so well on its financial health evaluation. EL is quite expensive at the moment. It does show a decent growth rate.


Dividend Valuation Growth Profitability Health

5

1. Profitability

1.1 Basic Checks

  • EL had positive earnings in the past year.
  • EL had a positive operating cash flow in the past year.
  • EL had positive earnings in 4 of the past 5 years.
  • Each year in the past 5 years EL had a positive operating cash flow.
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

  • EL has a Return On Assets (-0.91%) which 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 50.00% of its industry peers.
  • With a decent Return On Invested Capital value of 7.73%, EL is doing good in the industry, outperforming 66.67% of the companies in the same industry.
  • EL had an Average Return On Invested Capital over the past 3 years of 7.43%. This is below the industry average of 11.55%.
  • The 3 year average ROIC (7.43%) for EL is below the current ROIC(7.73%), indicating increased profibility in the last year.
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

  • With a decent Operating Margin value of 9.59%, EL is doing good in the industry, outperforming 72.22% of the companies in the same industry.
  • In the last couple of years the Operating Margin of EL has declined.
  • EL has a Gross Margin of 74.33%. This is amongst the best in the industry. EL outperforms 80.56% 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

  • The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so 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.
  • The debt/assets ratio for EL is higher compared to a year ago.
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 3.43. This indicates that EL is financially healthy and has little risk of bankruptcy at the moment.
  • EL has a better Altman-Z score (3.43) than 66.67% 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.
  • Looking at the Debt to FCF ratio, with a value of 6.44, EL is in the better half of the industry, outperforming 61.11% of the companies in the same industry.
  • EL has a Debt/Equity ratio of 1.82. This is a high value indicating a heavy dependency on external financing.
  • With a Debt to Equity ratio value of 1.82, EL is not doing good in the industry: 75.00% of the companies in the same industry are doing better.
Industry RankSector Rank
Debt/Equity 1.82
Debt/FCF 6.44
Altman-Z 3.43
ROIC/WACC0.98
WACC7.88%
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

  • EL has a Current Ratio of 1.36. This is a normal value and indicates that EL is financially healthy and should not expect problems in meeting its short term obligations.
  • Looking at the Current ratio, with a value of 1.36, EL is doing worse than 63.89% of the companies in the same industry.
  • A Quick Ratio of 1.00 indicates that EL may have some problems paying its short term obligations.
  • EL has a worse Quick ratio (1.00) than 61.11% of its industry peers.
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.
  • Measured over the past years, EL shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -18.22% on average per year.
  • EL shows a decrease in Revenue. In the last year, the revenue decreased by -3.35%.
  • EL shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 0.04% yearly.
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.
  • The Revenue is expected to grow by 4.55% on average over the next years.
EPS Next Y48.01%
EPS Next 2Y43.32%
EPS Next 3Y36.97%
EPS Next 5Y28.85%
Revenue Next Year4.29%
Revenue Next 2Y4.14%
Revenue Next 3Y4.3%
Revenue Next 5Y4.55%

3.3 Evolution

  • The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
  • The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
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

  • Based on the Price/Earnings ratio of 55.51, the valuation of EL can be described as expensive.
  • Compared to the rest of the industry, the Price/Earnings ratio of EL is on the same level as its industry peers.
  • EL is valuated expensively when we compare the Price/Earnings ratio to 27.19, which is the current average of the S&P500 Index.
  • EL is valuated quite expensively with a Price/Forward Earnings ratio of 35.13.
  • Compared to the rest of the industry, the Price/Forward Earnings ratio of EL is on the same level as its industry peers.
  • Compared to an average S&P500 Price/Forward Earnings ratio of 28.06, EL is valued a bit more expensive.
Industry RankSector Rank
PE 55.51
Fwd PE 35.13
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

  • Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of EL is on the same level as its industry peers.
  • EL's Price/Free Cash Flow ratio is in line with the industry average.
Industry RankSector Rank
P/FCF 34.44
EV/EBITDA 19.57
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.
  • A more expensive valuation may be justified as EL's earnings are expected to grow with 36.97% in the coming years.
PEG (NY)1.16
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 1.29%.
  • EL's Dividend Yield is a higher than the industry average which is at 1.60.
  • Compared to the average S&P500 Dividend Yield of 1.82, EL is paying slightly less dividend.
Industry RankSector Rank
Dividend Yield 1.29%

5.2 History

  • The dividend of EL has a limited annual growth rate of 4.31%.
  • EL has been paying a dividend for at least 10 years, so it has 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 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.
  • EL's earnings are growing more than its dividend. This makes the dividend growth 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

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ESTEE LAUDER COMPANIES-CL A

NYSE:EL (2/13/2026, 8:05:06 PM)

Premarket: 107.53 -0.71 (-0.66%)

108.24

+1.82 (+1.71%)

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 Change0.16%
Ins Owners0.12%
Ins Owner Change-16.48%
Market Cap39.15B
Revenue(TTM)14.67B
Net Income(TTM)-178.00M
Analysts73.14
Price Target109.43 (1.1%)
Short Float %3.49%
Short Ratio2.18
Dividend
Industry RankSector Rank
Dividend Yield 1.29%
Yearly Dividend1.72
Dividend Growth(5Y)4.31%
DP-284.83%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
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)4.63%
PT rev (3m)13.25%
EPS NQ rev (1m)-11.56%
EPS NQ rev (3m)-10.84%
EPS NY rev (1m)0.34%
EPS NY rev (3m)0.87%
Revenue NQ rev (1m)-0.63%
Revenue NQ rev (3m)-0.52%
Revenue NY rev (1m)0.08%
Revenue NY rev (3m)0.4%
Valuation
Industry RankSector Rank
PE 55.51
Fwd PE 35.13
P/S 2.67
P/FCF 34.44
P/OCF 23.45
P/B 9.71
P/tB N/A
EV/EBITDA 19.57
EPS(TTM)1.95
EY1.8%
EPS(NY)3.08
Fwd EY2.85%
FCF(TTM)3.14
FCFY2.9%
OCF(TTM)4.62
OCFY4.27%
SpS40.55
BVpS11.14
TBVpS-4.98
PEG (NY)1.16
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 3.43
F-Score5
WACC7.88%
ROIC/WACC0.98
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 Year4.29%
Revenue Next 2Y4.14%
Revenue Next 3Y4.3%
Revenue Next 5Y4.55%
EBIT growth 1Y-5.06%
EBIT growth 3Y-31.36%
EBIT growth 5Y-11.51%
EBIT Next Year108.86%
EBIT Next 3Y38.7%
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 55.51 and the Price/Book (PB) ratio is 9.71.


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%.