The Estee Lauder Companies Inc. (EL) vs e.l.f. Beauty (ELF)

The Estee Lauder Companies Inc. and e.l.f. Beauty are both Household & Personal Products companies. The Estee Lauder Companies Inc. is the larger, with a market value of $38.8B against $6.9B — 5.7× the size. e.l.f. Beauty trades at the lower P/E: 113× against 205×. e.l.f. Beauty grew revenue faster over the last twelve months: 31.2% against 5.05%. e.l.f. Beauty has the higher net margin (3.38% vs 1.21%) and the lower return on invested capital (4.72% vs 6.40%). Across the 22 metrics below, e.l.f. Beauty leads on 15 and The Estee Lauder Companies Inc. on 7.

Valuation

Metric EL ELF Household & Personal Products median
P/E 204.98 113.45 23.53
P/S 2.52 3.81 1.58
P/B 9.95 5.74 3.36
Price to free cash flow 28.56 23.95 19.95
EV/EBITDA 26.45 32.64 13.02
EV/Sales 2.77 4.10 1.42
Earnings yield 0.49% 0.88% 0.25%
Free cash flow yield 3.50% 4.18% 3.66%

Profitability

Metric EL ELF Household & Personal Products median
Gross margin 75.50% 74.44% 47.14%
Operating margin 5.18% 7.23% 1.31%
Net margin 1.21% 3.38% 0.61%
Free cash flow margin 8.81% 15.90% 2.89%
Return on equity 4.75% 6.04% 2.12%
Return on assets 0.92% 3.16% 0.00%
Return on invested capital 6.40% 4.72% 0.24%

Growth

Metric EL ELF Household & Personal Products median
Revenue growth (TTM) 5.05% 31.23% 2.93%
EPS growth (last fiscal year) 115.87% (77.08%) (12.73%)
Revenue growth, 5-year CAGR (1.48%) 38.76% 2.03%
Net income growth, 5-year CAGR (42.40%) 33.39% 0.00%

Health

Metric EL ELF Household & Personal Products median
Debt to equity 1.92 0.74 0.46
Current ratio 1.22 2.55 1.59
Net debt to EBITDA 2.42 3.73 1.37

Dividend

Metric EL ELF Household & Personal Products median
Dividend yield 1.34% — 2.79%
Payout ratio 2.86 — 0.87

Size

Metric EL ELF Household & Personal Products median
Market cap 38.84b 6.85b 620.01m

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