WallStSmart

Estee Lauder Companies Inc (EL)vsEssential Utilities Inc (WTRG)

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Smart Verdict

WallStSmart Research — data-driven comparison

Estee Lauder Companies Inc generates 499% more annual revenue ($14.83B vs $2.47B). WTRG leads profitability with a 24.9% profit margin vs -1.7%. EL appears more attractively valued with a PEG of 1.43. WTRG earns a higher WallStSmart Score of 60/100 (C+).

EL

Hold

41

out of 100

Grade: D

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

WTRG

Buy

60

out of 100

Grade: C+

Growth: 4.7Profit: 7.5Value: 6.7Quality: 3.3
Piotroski: 2/9Altman Z: 0.74
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ELUndervalued (+35.8%)

Margin of Safety

+35.8%

Fair Value

$164.08

Current Price

$86.67

$77.41 discount

UndervaluedFair: $164.08Overvalued
WTRGUndervalued (+47.4%)

Margin of Safety

+47.4%

Fair Value

$71.13

Current Price

$37.54

$33.59 discount

UndervaluedFair: $71.13Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

EL0 strengths · Avg: 0/10

No standout strengths identified

WTRG5 strengths · Avg: 8.6/10
Operating MarginProfitability
32.4%10/10

Strong operational efficiency at 32.4%

Profit MarginProfitability
24.9%9/10

Keeps 25 of every $100 in revenue as profit

P/E RatioValuation
17.3x8/10

Attractively priced relative to earnings

Price/BookValuation
1.5x8/10

Reasonable price relative to book value

Revenue GrowthGrowth
15.7%8/10

15.7% revenue growth

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

WTRG4 concerns · Avg: 2.3/10
Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

PEG RatioValuation
3.622/10

Expensive relative to growth rate

EPS GrowthGrowth
-30.0%2/10

Earnings declined 30.0%

Free Cash FlowQuality
$-240.78M2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : EL

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

Bull Case : WTRG

The strongest argument for WTRG centers on Operating Margin, Profit Margin, P/E Ratio. Profitability is solid with margins at 24.9% and operating margin at 32.4%. Revenue growth of 15.7% 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 : WTRG

The primary concerns for WTRG are Piotroski F-Score, PEG Ratio, EPS Growth.

Key Dynamics to Monitor

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

EL carries more volatility with a beta of 1.25 — expect wider price swings.

WTRG is growing revenue faster at 15.7% — sustainability is the question.

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

Bottom Line

WTRG scores higher overall (60/100 vs 41/100), backed by strong 24.9% margins and 15.7% revenue growth. EL offers better value entry with a 35.8% 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.

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Essential Utilities Inc

UTILITIES · UTILITIES - REGULATED WATER · USA

Essential Utilities, Inc. operates regulated utilities that provide water, wastewater, or natural gas services in the United States. The company is headquartered in Bryn Mawr, Pennsylvania.

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