The Estee Lauder (EL) Fundamental Analysis: Revenue, Earnings & Valuation

0.39 / 10

Underperform

Fundamental rating is Underperform with a 0.4/10 quality score. Profit margins are deeply negative (‑7.9%), ROA is ‑5.45%, and asset turnover is low. Positive points include a modest equity‑to‑liabilities ratio (0.24) and some asset‑value metrics, but overall financial health is poor.

Analysis Checks(5/10)

ROA (%)

Value-5.45

Score0/3

Weight38.37%

1M Return-9.78%

Shareholders’ equity attributable to parent company / Total liabilities (%)

Value0.24

Score2/3

Weight10.69%

1M Return-2.38%

Net income-Revenue

Value-0.04

Score3/3

Weight-51.38%

1M Return7.54%

Profit-MV

Value-1.19

Score2/3

Weight1.46%

1M Return-0.32%

Net profit margin (%)

Value-7.91

Score0/3

Weight38.90%

1M Return-10.65%

Annualized net profit margin on total assets (%)

Value-5.45

Score0/3

Weight38.37%

1M Return-9.78%

Total assets turnover ratio

Value0.69

Score1/3

Weight21.66%

1M Return-4.10%

Net profit / Total operating revenue (%)

Value-7.91

Score0/3

Weight38.90%

1M Return-10.65%

Asset-MV

Value-0.55

Score2/3

Weight-40.67%

1M Return6.08%

Net profit / Total profit (%)

Value108.94

Score2/3

Weight3.70%

1M Return-0.61%

Is EL undervalued or overvalued?

EL scores 0.39/10 on fundamentals and holds a Premium valuation at present. Backed by its 5.29% ROE, -1.21% net margin, -148.57 P/E ratio, 6.56 P/B ratio, and 74.23% earnings growth, these metrics solidify its Underperform investment rating.