Estee Lauder Companies Inc (EL)vsRoyal Caribbean Cruises Ltd (RCL)
EL
Estee Lauder Companies Inc
$86.20
+1.07%
CONSUMER DEFENSIVE · Cap: $30.86B
RCL
Royal Caribbean Cruises Ltd
$275.24
-2.00%
CONSUMER CYCLICAL · Cap: $73.82B
Smart Verdict
WallStSmart Research — data-driven comparison
Royal Caribbean Cruises Ltd generates 24% more annual revenue ($18.39B vs $14.83B). RCL leads profitability with a 24.4% profit margin vs -1.7%. RCL appears more attractively valued with a PEG of 1.20. RCL earns a higher WallStSmart Score of 72/100 (B).
EL
Hold38
out of 100
Grade: F
RCL
Strong Buy72
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+35.7%
Fair Value
$163.80
Current Price
$86.20
$77.60 discount
Margin of Safety
-56.5%
Fair Value
$213.30
Current Price
$275.24
$61.94 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
No standout strengths identified
Every $100 of equity generates 50 in profit
Large-cap with strong market position
Keeps 24 of every $100 in revenue as profit
Attractively priced relative to earnings
Strong operational efficiency at 26.2%
Earnings expanding 28.9% YoY
Areas to Watch
4.6% revenue growth
Distress zone — elevated risk
Weak financial health signals
ROE of -6.0% — below average capital efficiency
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : EL
PEG of 1.43 suggests the stock is reasonably priced for its growth.
Bull Case : RCL
The strongest argument for RCL centers on Return on Equity, Market Cap, Profit Margin. Profitability is solid with margins at 24.4% and operating margin at 26.2%. Revenue growth of 11.3% demonstrates continued momentum.
Bear Case : EL
The primary concerns for EL are Revenue Growth, Altman Z-Score, Piotroski F-Score. Debt-to-equity of 2.74 is elevated, increasing financial risk.
Bear Case : RCL
The primary concerns for RCL are Altman Z-Score.
Key Dynamics to Monitor
EL profiles as a turnaround stock while RCL is a mature play — different risk/reward profiles.
RCL carries more volatility with a beta of 1.78 — expect wider price swings.
RCL is growing revenue faster at 11.3% — sustainability is the question.
RCL generates stronger free cash flow (1.3B), providing more financial flexibility.
Bottom Line
RCL scores higher overall (72/100 vs 38/100), backed by strong 24.4% margins and 11.3% revenue growth. EL offers better value entry with a 35.7% margin of safety. Both earn "Strong 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 →Royal Caribbean Cruises Ltd
CONSUMER CYCLICAL · TRAVEL SERVICES · USA
Royal Caribbean Group, formerly known as Royal Caribbean Cruises Ltd., is an American global cruise holding company incorporated in Liberia and based in Miami, Florida, US.
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