Colgate-Palmolive Company (CL) vs The Estee Lauder Companies Inc. (EL)

Colgate-Palmolive Company and The Estee Lauder Companies Inc. are both Household & Personal Products companies. Colgate-Palmolive Company is the larger, with a market value of $78.5B against $39.0B — 2.0× the size. Colgate-Palmolive Company trades at the lower P/E: 37.0× against 108×. Colgate-Palmolive Company grew revenue faster over the last twelve months: 5.91% against 5.79%. Colgate-Palmolive Company has the higher net margin (9.65% vs 2.41%) and the higher return on invested capital (28.9% vs 7.87%). Both pay a dividend; Colgate-Palmolive Company yields more (2.19% vs 1.27%). Across the 23 metrics below, Colgate-Palmolive Company leads on 16 and The Estee Lauder Companies Inc. on 7.

Valuation

Metric CL EL Household & Personal Products median
P/E 37.02 107.59 24.47
P/S 3.61 2.61 1.19
P/B 120.19 9.89 3.30
Price to free cash flow 20.30 26.14 18.07
EV/EBITDA 17.61 24.35 13.95
EV/Sales 3.91 2.88 1.27
Earnings yield 2.70% 0.93% 1.09%
Free cash flow yield 4.93% 3.83% 3.78%

Profitability

Metric CL EL Household & Personal Products median
Gross margin 60.61% 76.04% 46.90%
Operating margin 14.84% 6.67% 1.31%
Net margin 9.65% 2.41% 2.32%
Free cash flow margin 17.80% 9.99% 4.87%
Return on equity 218.74% 9.28% 4.67%
Return on assets 11.99% 1.87% 0.00%
Return on invested capital 28.91% 7.87% 0.57%

Growth

Metric CL EL Household & Personal Products median
Revenue growth (TTM) 5.91% 5.79% 2.91%
EPS growth (last fiscal year) (25.07%) 115.87% (5.01%)
Revenue growth, 5-year CAGR 4.35% (1.48%) 1.39%
Net income growth, 5-year CAGR (4.58%) (42.40%) 0.00%

Health

Metric CL EL Household & Personal Products median
Debt to equity 12.06 1.80 0.43
Current ratio 0.96 1.25 1.75
Net debt to EBITDA 1.38 2.42 1.37

Dividend

Metric CL EL Household & Personal Products median
Dividend yield 2.19% 1.27% 2.49%
Payout ratio 0.82 1.41 0.62

Size

Metric CL EL Household & Personal Products median
Market cap 78.45b 39.00b 679.91m

Compare with another peer

Any metric, up to five companies and an Excel export Powerpack