WallStSmart

Estee Lauder Companies Inc (EL)vsEuropean Wax Center Inc (EWCZ)

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Smart Verdict

WallStSmart Research — data-driven comparison

Estee Lauder Companies Inc generates 7079% more annual revenue ($14.83B vs $206.63M). EWCZ leads profitability with a 4.2% profit margin vs -1.7%. EWCZ earns a higher WallStSmart Score of 49/100 (D+).

EL

Hold

38

out of 100

Grade: F

Growth: 2.7Profit: 4.0Value: 6.3Quality: 4.0
Piotroski: 3/9Altman Z: 1.68

EWCZ

Hold

49

out of 100

Grade: D+

Growth: 4.7Profit: 6.0Value: 7.0Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ELUndervalued (+29.5%)

Margin of Safety

+29.5%

Fair Value

$149.43

Current Price

$83.49

$65.94 discount

UndervaluedFair: $149.43Overvalued
EWCZUndervalued (+42.6%)

Margin of Safety

+42.6%

Fair Value

$9.97

Current Price

$5.82

$4.15 discount

UndervaluedFair: $9.97Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

EL0 strengths · Avg: 0/10

No standout strengths identified

EWCZ1 strengths · Avg: 10.0/10
EPS GrowthGrowth
195.6%10/10

Earnings expanding 195.6% YoY

Areas to Watch

EL4 concerns · Avg: 3.3/10
Revenue GrowthGrowth
4.6%4/10

4.6% revenue growth

Altman Z-ScoreHealth
1.684/10

Distress zone — elevated risk

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Return on EquityProfitability
-6.2%2/10

ROE of -6.2% — below average capital efficiency

EWCZ4 concerns · Avg: 3.0/10
P/E RatioValuation
29.1x4/10

Moderate valuation

Market CapQuality
$319.14M3/10

Smaller company, higher risk/reward

Profit MarginProfitability
4.2%3/10

4.2% margin — thin

Revenue GrowthGrowth
-9.3%2/10

Revenue declined 9.3%

Comparative Analysis Report

WallStSmart Research

Bull Case : EL

PEG of 1.43 suggests the stock is reasonably priced for its growth.

Bull Case : EWCZ

The strongest argument for EWCZ centers on EPS Growth.

Bear Case : EL

The primary concerns for EL are Revenue Growth, Altman Z-Score, Piotroski F-Score. Debt-to-equity of 2.33 is elevated, increasing financial risk.

Bear Case : EWCZ

The primary concerns for EWCZ are P/E Ratio, Market Cap, Profit Margin. Thin 4.2% margins leave little buffer for downturns.

Key Dynamics to Monitor

EL profiles as a turnaround stock while EWCZ is a value play — different risk/reward profiles.

EWCZ carries more volatility with a beta of 1.33 — expect wider price swings.

EL is growing revenue faster at 4.6% — sustainability is the question.

EL generates stronger free cash flow (310M), providing more financial flexibility.

Bottom Line

EWCZ scores higher overall (49/100 vs 38/100). EL offers better value entry with a 29.5% margin of safety. Both earn "Hold" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Estee Lauder Companies Inc

CONSUMER DEFENSIVE · HOUSEHOLD & PERSONAL PRODUCTS · USA

The Estee Lauder Companies Inc. is an American multinational manufacturer and marketer of prestige skincare, makeup, fragrance and hair care products, based in Midtown Manhattan, New York City. The company owns a diverse portfolio of brands, distributed internationally through both digital commerce and retail channels.

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European Wax Center Inc

CONSUMER DEFENSIVE · HOUSEHOLD & PERSONAL PRODUCTS · USA

European Wax Center, Inc. is a franchised holding company of EWC Ventures, LLC that operates out-of-home waxing services in the United States. The company is headquartered in Plano, Texas.

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