The Estee Lauder Companies Inc. (EL) vs Kenvue Inc. (KVUE)

The Estee Lauder Companies Inc. and Kenvue Inc. are both Household & Personal Products companies. The Estee Lauder Companies Inc. and Kenvue Inc. are of similar size ($38.8B and $35.9B). Kenvue Inc. trades at the lower P/E: 21.7× against 205×. The Estee Lauder Companies Inc. grew revenue faster over the last twelve months: 5.05% against 1.76%. Kenvue Inc. has the higher net margin (10.8% vs 1.21%) and the higher return on invested capital (9.95% vs 6.40%). Both pay a dividend; Kenvue Inc. yields more (5.51% vs 1.34%). Across the 23 metrics below, Kenvue Inc. leads on 19 and The Estee Lauder Companies Inc. on 4.

Valuation

Metric EL KVUE Household & Personal Products median
P/E 204.98 21.74 23.53
P/S 2.52 2.36 1.58
P/B 9.95 3.44 3.36
Price to free cash flow 28.56 18.73 19.95
EV/EBITDA 26.45 13.22 13.02
EV/Sales 2.77 2.74 1.42
Earnings yield 0.49% 4.60% 0.25%
Free cash flow yield 3.50% 5.34% 3.66%

Profitability

Metric EL KVUE Household & Personal Products median
Gross margin 75.50% 58.19% 47.14%
Operating margin 5.18% 17.07% 1.31%
Net margin 1.21% 10.76% 0.61%
Free cash flow margin 8.81% 12.58% 2.89%
Return on equity 4.75% 15.58% 2.12%
Return on assets 0.92% 6.16% 0.00%
Return on invested capital 6.40% 9.95% 0.24%

Growth

Metric EL KVUE Household & Personal Products median
Revenue growth (TTM) 5.05% 1.76% 2.93%
EPS growth (last fiscal year) 115.87% 40.74% (12.73%)
Revenue growth, 5-year CAGR (1.48%) 0.89% 2.03%
Net income growth, 5-year CAGR (42.40%) 0.00% 0.00%

Health

Metric EL KVUE Household & Personal Products median
Debt to equity 1.92 0.67 0.46
Current ratio 1.22 1.01 1.59
Net debt to EBITDA 2.42 2.02 1.37

Dividend

Metric EL KVUE Household & Personal Products median
Dividend yield 1.34% 5.51% 2.79%
Payout ratio 2.86 1.20 0.87

Size

Metric EL KVUE Household & Personal Products median
Market cap 38.84b 35.86b 620.01m

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