WallStSmart

Estee Lauder Companies Inc (EL)vsVisa Inc. Class A (V)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Visa Inc. Class A generates 190% more annual revenue ($43.03B vs $14.83B). V leads profitability with a 51.7% profit margin vs -1.7%. EL appears more attractively valued with a PEG of 1.43. V earns a higher WallStSmart Score of 72/100 (B).

EL

Hold

38

out of 100

Grade: F

Growth: 2.7Profit: 4.0Value: 7.0Quality: 4.0
Piotroski: 3/9Altman Z: 1.68

V

Strong Buy

72

out of 100

Grade: B

Growth: 8.7Profit: 10.0Value: 5.0Quality: 5.5
Piotroski: 4/9Altman Z: 1.84
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ELUndervalued (+35.7%)

Margin of Safety

+35.7%

Fair Value

$163.80

Current Price

$86.20

$77.60 discount

UndervaluedFair: $163.80Overvalued

Intrinsic value data unavailable for V.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

EL0 strengths · Avg: 0/10

No standout strengths identified

V6 strengths · Avg: 9.3/10
Market CapQuality
$610.99B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
60.4%10/10

Every $100 of equity generates 60 in profit

Profit MarginProfitability
51.7%10/10

Keeps 52 of every $100 in revenue as profit

Operating MarginProfitability
67.3%10/10

Strong operational efficiency at 67.3%

Revenue GrowthGrowth
17.1%8/10

17.1% revenue growth

EPS GrowthGrowth
35.5%8/10

Earnings expanding 35.5% 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
-6.0%2/10

ROE of -6.0% — below average capital efficiency

V4 concerns · Avg: 4.0/10
PEG RatioValuation
1.714/10

Expensive relative to growth rate

P/E RatioValuation
28.0x4/10

Moderate valuation

Price/BookValuation
15.9x4/10

Trading at 15.9x book value

Altman Z-ScoreHealth
1.844/10

Grey zone — moderate risk

Comparative Analysis Report

WallStSmart Research

Bull Case : EL

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

Bull Case : V

The strongest argument for V centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 51.7% and operating margin at 67.3%. Revenue growth of 17.1% 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 : V

The primary concerns for V are PEG Ratio, P/E Ratio, Price/Book.

Key Dynamics to Monitor

EL profiles as a turnaround stock while V is a growth play — different risk/reward profiles.

EL carries more volatility with a beta of 1.21 — expect wider price swings.

V is growing revenue faster at 17.1% — sustainability is the question.

V generates stronger free cash flow (2.6B), providing more financial flexibility.

Bottom Line

V scores higher overall (72/100 vs 38/100), backed by strong 51.7% margins and 17.1% 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.

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Visa Inc. Class A

FINANCIAL SERVICES · CREDIT SERVICES · USA

Visa Inc. is an American multinational financial services corporation headquartered in Foster City, California, United States. It facilitates electronic funds transfers throughout the world, most commonly through Visa-branded credit cards, debit cards and prepaid cards. Visa is one of the world's most valuable companies.

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