| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 25 | 194.2x | 17.8x | Bottom tier | |
Growth | 61 | 5.0% | 7.1% | Around median | |
Quality | 77 | 3.4% | 4.5% | Top tier | |
Safety | 50 | 3.6x | 2.6x | Around median | |
Capital Return | 28 | 1.44% | 2.12% | Bottom tier | |
Momentum | 56 | -1.0% | 2.9% | Around median | |
Sentiment | 72 | 17 | 3 | Top tier |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
The Estée Lauder Companies operates in prestige beauty across the skin care, fragrance, makeup, and hair care categories, with a portfolio that includes Estée Lauder, Clinique, La Mer, M·A·C, Jo Malone London, TOM FORD, The Ordinary, Le Labo, KILIAN PARIS, and others. The company generates sales through stores, brand websites, third-party platforms, specialty retail, and travel retail; in fiscal 2026, online channels accounted for 34% of reported sales, an increase of 3 percentage points, while travel retail represented about 15%. Jo Malone London and TOM FORD joined Clinique, Estée Lauder, La Mer, and M·A·C among the brands with sales exceeding $1 billion.
In fiscal 2026, the company reported revenue of $15.0 billion, gross profit of $11.4 billion, net income of $182 million, and earnings per share of $0.50, according to EDGAR data. Reported sales rose 5% and organic sales rose 3%, while gross margin expanded by 150 basis points. Adjusted operating margin reached 11.2% after improving by 320 basis points, and adjusted diluted earnings per share increased 66% to $2.51. By category, organic fragrance sales grew 10% and skin care sales grew 4%, while the makeup trend improved by 500 basis points without the company providing a positive category growth figure, and hair care remained without organic growth.
In Q4 of fiscal 2026, revenue was $3.6 billion and gross profit was $2.7 billion, but the company reported a net loss of $116 million according to EDGAR. In contrast, organic sales grew 5%, the strongest quarterly performance in fiscal 2026, and adjusted gross margin reached 75.5% after expanding by 360 basis points. Adjusted diluted earnings per share also rose to $0.39 from $0.09. The divergence between the accounting loss and adjusted metrics reflects the impact of the restructuring phase, as cumulative charges for the PRGP program totaled about $823 million in fiscal 2026 and primarily consisted of employee-related costs.
The average analyst target is $102.27, compared with a high target of $120 and a low target of $86, with a Neutral consensus; the average target is below the top of the 52-week range of $121.64, while the high target is close to it. No valid P/E ratio is available in the data, which is consistent with the weak accounting net income of $182 million and the net loss in Q4 of fiscal 2026. Therefore, the valuation depends heavily on achieving fiscal 2027 growth and expanding the operating margin to 12.7%–13.5%.
Figures in the text are as of 2026-08-28; the live price is shown at the top of the page.
Organic sales returned to growth of 3% in fiscal 2026, and growth reached 5% in Q4 of fiscal 2026, the strongest quarter of the year. The PRGP program helped expand gross margin by 150 basis points and adjusted operating margin by 320 basis points to 11.2%. Adjusted diluted earnings per share also rose 66% to $2.51, and operating cash flow grew to $1.8 billion.
Management expects organic sales growth of 3% to 5% in fiscal 2027, with stronger performance in the first half due to the timing of innovations and travel retail shipments. It expects an adjusted operating margin of 12.7% to 13.5% and diluted earnings per share of $3.10 to $3.35. It also expects operating cash flow of $1.3 to $1.4 billion, down from $1.8 billion in fiscal 2026 due to restructuring payments and working capital requirements.
Mainland China achieved organic growth of 9% in fiscal 2026, and the company recorded six consecutive quarters of market share gains there. The number of brands achieving retail sales growth in China reached 11 in the final quarter, including six brands with double-digit growth, while Le Labo grew by more than 50% during fiscal 2026. Travel retail represented about 15% of reported sales, and global retail sales for the channel returned to growth in June and July 2026, led by double-digit growth in Hainan during Q4 of fiscal 2026.
Automated analysis for informational purposes only — not investment advice.
Fragrance led organic growth at 10% in fiscal 2026, supported by Le Labo, TOM FORD, KILIAN PARIS, Jo Malone London, and the launch of Balmain Beauty. Skin care grew 4%, with strong performance across The Ordinary, Estée Lauder, and La Mer, and The Ordinary delivered another year of double-digit organic growth. Jo Malone London and TOM FORD also joined the billion-dollar sales brand club, bringing the company's number of brands at this level to six.
The recovery is not yet complete; the organic sales trend for makeup improved by 500 basis points in fiscal 2026, but the company did not report that the category had returned to positive organic growth. M·A·C and TOM FORD led the improvement, and M·A·C regained the number-one position in the United States during Q4 of fiscal 2026 after expanding in Sephora and launching a new lip tint. Hair care remained without organic growth despite signs of improvement for Aveda in U.S. salon data and strong growth for The Ordinary Serum for Hair Density.
The analyst consensus on EL stock is Neutral, with an average target of $102.27. The target range extends from $86 to $120, compared with a 52-week range of $66.22 to $121.64, and the high target is near the top of this range. No valid P/E ratio is available in the data, so the valuation is tied to the company's ability to raise diluted earnings per share to $3.10–$3.35 and expand adjusted operating margin to 12.7%–13.5% in fiscal 2027.
