Skip to Content

The Estee Lauder Companies Inc Class A EL

Morningstar Rating
$154.15 +9.11 (6.28%)
View Full Chart
Unlock our analysis with Morningstar Investor

Company Report

Temporary Travel Retail Woes Should Not Derail Estee Lauder’s Long-Term Beauty Prospects

As a leading provider of premium beauty products, Estee Lauder has reinforced its competitive standing with category-leading brands in skin care, cosmetics, and fragrances, in addition to retaining a preferred vendor status across brick-and-mortar and digital channels. These attributes, coupled with scale-based cost advantages, should augur a long-term competitive edge that enables the firm to deliver excess returns for more than 20 years. As such, we award Estee a wide moat rating.

Price vs Fair Value

EL is trading at a 34% discount.
Price
$139.17
Fair Value
$153.00
Uncertainty
Medium
1-Star Price
$985.20
5-Star Price
$421.00
Economic Moat
Ykw
Capital Allocation
Qldsvhzlt

Bulls Say, Bears Say

Bulls

As a premium beauty pure-play, Estee Lauder is best equipped to capture growth opportunities as middle-class consumers globally upgrade from mass brands.

Bears

Estee lags key rival L’Oréal in research and development for derma-based skin care products, which are gaining popularity among consumers.

Is it the right time to buy, sell, or hold?
Start a free trial of Morningstar Investor to unlock exclusive ratings and continuous analyst coverage to help you decide if EL is a good fit for your portfolio.

News

Trading Information

Previous Close Price
$145.04
Day Range
$148.54155.05
52-Week Range
$102.22260.46
Bid/Ask
$153.81 / $154.99
Market Cap
$55.26 Bil
Volume/Avg
4.8 Mil / 2.7 Mil

Key Statistics

Price/Earnings (Normalized)
100.57
Price/Sales
3.67
Dividend Yield (Trailing)
1.71%
Dividend Yield (Forward)
1.71%
Total Yield
1.80%

Company Profile

Estee Lauder is a leader in the global prestige beauty market, participating across skin care (52% of 2023 sales), makeup (28%), fragrance (16%), and hair care (4%) categories, with top-selling brands such as Estee Lauder, Clinique, M.A.C, La Mer, Jo Malone London, Aveda, Bobbi Brown, and Origins. The firm operates in more than 150 countries, generating 28% of revenue from the Americas, 39% from Europe, the Middle East and Africa (including travel retail), and 33% from Asia-Pacific. Estee Lauder sells its products through department stores, travel retail, specialty multibrand beauty stores, brand-dedicated freestanding stores, e-commerce, salons/spas, and perfumeries.
Sector
Consumer Defensive
Industry
Household & Personal Products
Stock Style Box
Large Core
Total Number of Employees
62,000

Competitors

Valuation

Metric
EL
OR
4911
Price/Earnings (Normalized)
100.5735.8551.22
Price/Book Value
9.678.072.67
Price/Sales
3.675.721.70
Price/Cash Flow
41.7329.4520.55
Price/Earnings
EL
OR
4911

Financial Strength

Metric
EL
OR
4911
Quick Ratio
0.870.700.75
Current Ratio
1.361.101.28
Interest Coverage
2.7935.254.21
Quick Ratio
EL
OR
4911

Profitability

Metric
EL
OR
4911
Return on Assets (Normalized)
3.09%12.99%2.14%
Return on Equity (Normalized)
12.28%23.11%4.47%
Return on Invested Capital (Normalized)
5.04%17.20%3.01%
Return on Assets
EL
OR
4911
See how this stock stacks up to its competitors with Morningstar Investor

Household & Personal Products Industry Comparables

Ticker
Name
Morningstar Rating for Stocks
Capital Allocation
Economic Moat
Market Cap
PG
Procter & Gamble CoMjjsdgnvmJxkl$381.8 Bil
UL
Unilever PLC ADRNtblsqslDslhs$125.5 Bil
CL
Colgate-Palmolive CoCfbnvzdqcKdpw$74.0 Bil
KMB
Kimberly-Clark CorpFckywxrmpLkdswvm$43.6 Bil
KVUE
Kenvue IncLtptyrlMjtxg$41.1 Bil
RBGLY
Reckitt Benckiser Group PLC ADRBfvkwndSslp$40.3 Bil
CHD
Church & Dwight Co IncTsdzvlhKgjl$25.4 Bil
CLX
Clorox CoYltjvnybkxPgdc$19.0 Bil
COTY
Coty Inc Class AXykgZws$10.7 Bil

Sponsor Center