Estee Lauder Companies Inc (EL)vsProcter & Gamble Company (PG)
EL
Estee Lauder Companies Inc
$93.43
-0.46%
CONSUMER DEFENSIVE · Cap: $36.79B
PG
Procter & Gamble Company
$146.39
-0.79%
CONSUMER DEFENSIVE · Cap: $337.41B
Smart Verdict
WallStSmart Research — data-driven comparison
Procter & Gamble Company generates 478% more annual revenue ($87.03B vs $15.05B). PG leads profitability with a 18.4% profit margin vs 1.2%. EL appears more attractively valued with a PEG of 2.12. PG earns a higher WallStSmart Score of 55/100 (C).
EL
Hold37
out of 100
Grade: F
PG
Buy55
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+29.8%
Fair Value
$150.05
Current Price
$93.43
$56.62 discount
Margin of Safety
-45.4%
Fair Value
$100.65
Current Price
$146.39
$45.74 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
No standout strengths identified
Mega-cap, among the largest globally
Every $100 of equity generates 30 in profit
Strong operational efficiency at 22.1%
Generating 4.1B in free cash flow
Areas to Watch
Expensive relative to growth rate
Trading at 8.9x book value
ROE of 4.8% — below average capital efficiency
1.2% margin — thin
1.5% revenue growth
Expensive relative to growth rate
Earnings declined 15.5%
Comparative Analysis Report
WallStSmart ResearchBull Case : EL
EL has a balanced fundamental profile.
Bull Case : PG
The strongest argument for PG centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 18.4% and operating margin at 22.1%.
Bear Case : EL
The primary concerns for EL are PEG Ratio, Price/Book, Return on Equity. A P/E of 203.4x leaves little room for execution misses. Debt-to-equity of 2.43 is elevated, increasing financial risk.
Bear Case : PG
The primary concerns for PG are Revenue Growth, PEG Ratio, EPS Growth.
Key Dynamics to Monitor
EL carries more volatility with a beta of 1.27 — expect wider price swings.
EL is growing revenue faster at 6.3% — sustainability is the question.
PG generates stronger free cash flow (4.1B), providing more financial flexibility.
Monitor HOUSEHOLD & PERSONAL PRODUCTS industry trends, competitive dynamics, and regulatory changes.
Bottom Line
PG scores higher overall (55/100 vs 37/100), backed by strong 18.4% margins. EL offers better value entry with a 29.8% margin of safety. Both earn "Buy" 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.
Visit Website →Procter & Gamble Company
CONSUMER DEFENSIVE · HOUSEHOLD & PERSONAL PRODUCTS · USA
The Procter & Gamble Company (P&G) is an American multinational consumer goods corporation headquartered in Cincinnati, Ohio, founded in 1837 by William Procter and James Gamble. It specializes in a wide range of personal health, consumer health, personal care, and hygiene products; these products are organized into several segments including Beauty; Grooming; Health Care; Fabric & Home Care; and Baby, Feminine, & Family Care. Before the sale of Pringles to Kellogg's, its product portfolio also included food, snacks, and beverages.
Visit Website →Compare with Other HOUSEHOLD & PERSONAL PRODUCTS Stocks
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