The Estée Lauder Companies Inc. (EL) Financial Ratios
30 years of historical data (1996–2025) · Consumer Defensive · Household & Personal Products
EV/EBITDA
↓
20.78
↓-26% vs avg
5yr avg: 28.13
30Y Low9.4·High60.0
P/FCF
↑
45.70
+17% vs avg
5yr avg: 38.91
30Y Low15.6·High92.2
P/B Ratio
↓
7.90
↓-31% vs avg
5yr avg: 11.42
30Y Low3.9·High17.5
ROE
↓
-24.7%
↑-244% vs avg
5yr avg: 17.2%
30Y Low-25%·High53%
Debt/EBITDA
↑
5.28
↑+34% vs avg
5yr avg: 3.94
30Y Low0.1·High7.2
Percentile shows where the current value sits in 30-year historical distribution. Sparklines show 5-year trend.
EL Valuation Multiples
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
The Estée Lauder Companies Inc. currently has a negative P/E ratio, indicating the company is operating at a loss on a trailing-twelve-month basis. On a free-cash-flow basis, the stock trades at 45.7x P/FCF, 17% above the 5-year average of 38.9x.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $30.6B | $29.1B | $38.4B | $70.9B | $92.9B | $117.1B | $69.2B | $67.8B | $53.6B | $35.8B | $34.3B |
| Enterprise Value | $37.1B | $35.6B | $44.8B | $77.0B | $96.6B | $120.3B | $73.0B | $68.2B | $55.0B | $38.2B | $35.6B |
| P/E Ratio → | -26.92 | — | 98.52 | 70.39 | 38.88 | 40.83 | 101.44 | 37.99 | 48.37 | 28.65 | 30.75 |
| P/S Ratio | 2.14 | 2.04 | 2.46 | 4.45 | 5.24 | 7.22 | 4.84 | 4.56 | 3.92 | 3.03 | 3.04 |
| P/B Ratio | 7.90 | 7.53 | 7.22 | 11.04 | 14.45 | 16.86 | 17.47 | 15.38 | 11.38 | 8.13 | 9.56 |
| P/FCF | 45.70 | 43.43 | 26.64 | — | 46.46 | 39.12 | 41.78 | 38.25 | 27.58 | 27.62 | 27.13 |
| P/OCF | 24.07 | 22.87 | 16.27 | 40.94 | 30.57 | 32.25 | 30.36 | 26.95 | 20.84 | 19.89 | 19.16 |
P/E links to full P/E history page with 30-year chart
EL EV Ratios
Enterprise-value multiples — capital-structure-neutral measures of total business value
The Estée Lauder Companies Inc.'s enterprise value stands at 20.8x EBITDA, 26% below its 5-year average of 28.1x. The Consumer Defensive sector median is 11.0x, placing the stock at a 89% premium on an enterprise-value basis.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 2.49 | 2.87 | 4.84 | 5.45 | 7.42 | 5.11 | 4.59 | 4.02 | 3.23 | 3.16 |
| EV / EBITDA | 20.78 | 19.93 | 24.97 | 34.18 | 24.79 | 36.79 | 59.98 | 23.78 | 21.26 | 17.64 | 17.58 |
| EV / EBIT | 38.77 | — | 38.97 | 46.62 | 30.16 | 34.32 | 60.48 | 27.97 | 26.08 | 22.23 | 21.90 |
| EV / FCF | — | 53.16 | 31.10 | — | 48.31 | 40.17 | 44.05 | 38.49 | 28.28 | 29.50 | 28.18 |
EL Profitability
Margins and return-on-capital ratios measuring operating efficiency
The Estée Lauder Companies Inc. earns an operating margin of 6.7%, above the Consumer Defensive sector average of 3.5%. Operating margins have compressed from 9.5% to 6.7% over the past 3 years, signaling potential cost pressures or competitive headwinds. A negative ROE of -24.7% indicates the company is currently destroying shareholder equity. ROIC of 6.5% represents adequate returns on invested capital versus a sector median of 5.7%.
Margins
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 73.9% | 73.9% | 71.7% | 71.3% | 75.7% | 76.4% | 75.2% | 77.2% | 79.2% | 79.4% | 80.6% |
| Operating Margin | 6.7% | 6.7% | 6.2% | 9.5% | 17.9% | 16.1% | 4.2% | 15.6% | 15.0% | 14.4% | 14.3% |
| Net Profit Margin | -7.9% | -7.9% | 2.5% | 6.3% | 13.5% | 17.7% | 4.8% | 12.0% | 8.1% | 10.6% | 9.9% |
Return on Capital
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | -24.7% | -24.7% | 6.6% | 15.7% | 35.7% | 52.6% | 16.3% | 39.1% | 24.3% | 31.3% | 30.8% |
| ROA | -5.5% | -5.5% | 1.7% | 4.5% | 11.1% | 14.4% | 4.4% | 13.9% | 9.2% | 12.0% | 12.8% |
| ROIC | 6.5% | 6.5% | 6.0% | 10.0% | 23.5% | 22.0% | 7.2% | 31.8% | 23.9% | 21.7% | 26.3% |
| ROCE | 6.3% | 6.3% | 5.9% | 9.4% | 20.0% | 17.9% | 5.7% | 26.0% | 22.8% | 22.3% | 25.5% |
EL Leverage & Debt
Solvency and debt-coverage ratios — lower is generally safer
The Estée Lauder Companies Inc. carries a Debt/EBITDA ratio of 5.3x, which is highly leveraged (51% above the sector average of 3.5x). Net debt stands at $6.5B ($9.4B total debt minus $2.9B cash).
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 2.44 | 2.44 | 1.85 | 1.58 | 1.19 | 1.17 | 2.22 | 0.77 | 0.75 | 0.81 | 0.63 |
| Debt / EBITDA | 5.28 | 5.28 | 5.47 | 4.51 | 1.96 | 2.48 | 7.22 | 1.19 | 1.37 | 1.65 | 1.11 |
| Net Debt / Equity | — | 1.69 | 1.21 | 0.96 | 0.57 | 0.45 | 0.95 | 0.10 | 0.29 | 0.55 | 0.37 |
| Net Debt / EBITDA | 3.65 | 3.65 | 3.58 | 2.73 | 0.95 | 0.96 | 3.10 | 0.15 | 0.53 | 1.12 | 0.66 |
| Debt / FCF | — | 9.73 | 4.46 | — | 1.84 | 1.05 | 2.27 | 0.24 | 0.70 | 1.88 | 1.05 |
| Interest Coverage | -1.57 | -1.57 | 3.04 | 6.48 | 19.18 | 20.25 | 7.50 | 18.35 | 16.47 | 16.70 | 23.00 |
EL Liquidity & Efficiency
Short-term solvency ratios and asset-utilisation metrics
A current ratio of 1.30x means The Estée Lauder Companies Inc. can comfortably meet its short-term obligations, though there is limited excess liquidity. The quick ratio of 0.92x is notably lower than the current ratio, indicating a significant portion of current assets is tied up in inventory. The current ratio has declined from 1.46x to 1.30x over the past 3 years.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.30 | 1.30 | 1.39 | 1.46 | 1.60 | 1.84 | 1.72 | 1.57 | 1.86 | 1.76 | 1.58 |
| Quick Ratio | 0.92 | 0.92 | 1.01 | 0.99 | 1.10 | 1.37 | 1.32 | 1.13 | 1.37 | 1.23 | 1.10 |
| Cash Ratio | 0.54 | 0.54 | 0.60 | 0.65 | 0.68 | 0.94 | 0.97 | 0.65 | 0.82 | 0.62 | 0.52 |
| Asset Turnover | — | 0.72 | 0.72 | 0.68 | 0.85 | 0.74 | 0.80 | 1.13 | 1.09 | 1.02 | 1.22 |
| Inventory Turnover | 1.80 | 1.80 | 2.03 | 1.53 | 1.47 | 1.53 | 1.72 | 1.69 | 1.76 | 1.65 | 1.73 |
| Days Sales Outstanding | — | 39.09 | 40.39 | 33.31 | 33.52 | 38.31 | 30.49 | 44.97 | 39.67 | 43.06 | 40.78 |
EL Shareholder Yields
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
The Estée Lauder Companies Inc. returns 2.1% to shareholders annually — split between a 2.0% dividend yield and 0.1% buyback yield.
Dividends
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 2.0% | 2.1% | 2.5% | 1.3% | 0.9% | 0.6% | 0.7% | 0.9% | 1.0% | 1.4% | 1.2% |
| Payout Ratio | — | — | 242.8% | 91.9% | 35.1% | 26.2% | 73.5% | 34.1% | 49.3% | 38.9% | 37.9% |
Total Shareholder Return Metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | — | — | 1.0% | 1.4% | 2.6% | 2.4% | 1.0% | 2.6% | 2.1% | 3.5% | 3.3% |
| FCF Yield | 2.2% | 2.3% | 3.8% | — | 2.2% | 2.6% | 2.4% | 2.6% | 3.6% | 3.6% | 3.7% |
| Buyback Yield | 0.1% | 0.1% | 0.1% | 0.4% | 2.5% | 0.6% | 1.3% | 2.3% | 1.4% | 1.2% | 2.6% |
| Total Shareholder Yield | 2.1% | 2.2% | 2.6% | 1.7% | 3.4% | 1.3% | 2.0% | 3.2% | 2.4% | 2.5% | 3.8% |
| Shares Outstanding | — | $360M | $361M | $361M | $365M | $368M | $367M | $370M | $376M | $373M | $377M |
Peer Comparison
Compare EL with 10 similar companies in its peer group
| Company | Market Cap | P/E | EV/EBITDA | P/FCF | Gross Margin | Op Margin | ROE | ROIC | Debt/EBITDA |
|---|---|---|---|---|---|---|---|---|---|
 ELYou | $31B | -26.9 | 20.8 | 45.7 | 73.9% | 6.7% | -24.7% | 6.5% | 5.3 |
 COTY | $2B | -4.4 | 8.6 | 6.2 | 64.8% | 4.1% | -9.0% | 2.3% | 6.4 |
 IFF | $20B | -52.5 | 13.1 | 76.6 | 30.9% | 9.2% | -2.7% | 3.5% | 3.4 |
 ELF | $4B | 145.9 | 21.1 | 20.1 | 70.7% | 8.0% | 5.8% | 7.3% | 4.4 |
 IPAR | $3B | 18.9 | 11.9 | 16.7 | 63.6% | 18.2% | 16.5% | 18.6% | 0.8 |
 SKIN | $86M | -4.1 | 51.0 | 2.3 | 65.3% | -6.9% | -16.9% | -6.8% | 83.3 |
 PG | $351B | 23.1 | 16.2 | 25.0 | 51.2% | 24.3% | 31.1% | 20.1% | 1.5 |
 UL | $128B | 22.2 | 12.2 | 14.3 | 100.0% | 15.5% | 26.5% | 15.3% | 2.7 |
 KMB | $34B | 16.9 | 13.1 | 20.8 | 35.6% | 14.5% | 153.9% | 23.3% | 2.3 |
 CHD | $23B | 31.7 | 18.5 | 20.7 | 44.7% | 17.4% | 17.6% | 13.9% | 1.7 |
 KVUE | $35B | 23.8 | 13.0 | 20.2 | 58.1% | 17.9% | 14.4% | 11.4% | 2.6 |
| Consumer Defensive Median | — | 18.8 | 11.0 | 15.3 | 40.8% | 3.5% | 6.5% | 5.7% | 3.5 |
Peer selection based on competitive and market overlap. Compare multiple stocks →
Download Financial Ratios Data
Includes 30+ ratios · 30 years · Updated daily
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EL — Frequently Asked Questions
Quick answers to the most common questions about buying EL stock.
What is The Estée Lauder Companies Inc.'s P/E ratio?
The Estée Lauder Companies Inc.'s current P/E ratio is -26.9x. The historical average is 38.8x.
What is The Estée Lauder Companies Inc.'s EV/EBITDA?
The Estée Lauder Companies Inc.'s current EV/EBITDA is 20.8x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 18.4x.
What is The Estée Lauder Companies Inc.'s ROE?
The Estée Lauder Companies Inc.'s return on equity (ROE) is -24.7%. The historical average is 24.1%.
Is EL stock overvalued?
Based on historical data, The Estée Lauder Companies Inc. is trading at a P/E of -26.9x. Compare with industry peers and growth rates for a complete picture.
What is The Estée Lauder Companies Inc.'s dividend yield?
The Estée Lauder Companies Inc.'s current dividend yield is 2.02%.
What are The Estée Lauder Companies Inc.'s profit margins?
The Estée Lauder Companies Inc. has 73.9% gross margin and 6.7% operating margin.
How much debt does The Estée Lauder Companies Inc. have?
The Estée Lauder Companies Inc.'s Debt/EBITDA ratio is 5.3x, indicating high leverage. A ratio above 4x may signal elevated financial risk.