Estee Lauder Companies Inc (EL)vsShopify Inc (SHOP)
EL
Estee Lauder Companies Inc
$86.20
+1.07%
CONSUMER DEFENSIVE · Cap: $30.86B
SHOP
Shopify Inc
$110.41
-1.19%
TECHNOLOGY · Cap: $136.82B
Smart Verdict
WallStSmart Research — data-driven comparison
Estee Lauder Companies Inc generates 20% more annual revenue ($14.83B vs $12.37B). SHOP leads profitability with a 10.8% profit margin vs -1.7%. EL appears more attractively valued with a PEG of 1.43. SHOP earns a higher WallStSmart Score of 50/100 (C-).
EL
Hold38
out of 100
Grade: F
SHOP
Buy50
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+35.7%
Fair Value
$163.80
Current Price
$86.20
$77.60 discount
Margin of Safety
+26.1%
Fair Value
$158.22
Current Price
$110.41
$47.81 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
No standout strengths identified
Revenue surging 34.3% year-over-year
Conservative balance sheet, low leverage
Safe zone — low bankruptcy risk
Large-cap with strong market position
Areas to Watch
4.6% revenue growth
Distress zone — elevated risk
Weak financial health signals
ROE of -6.0% — below average capital efficiency
Expensive relative to growth rate
Trading at 10.7x book value
Weak financial health signals
Premium valuation, high expectations priced in
Comparative Analysis Report
WallStSmart ResearchBull Case : EL
PEG of 1.43 suggests the stock is reasonably priced for its growth.
Bull Case : SHOP
The strongest argument for SHOP centers on Revenue Growth, Debt/Equity, Altman Z-Score. Revenue growth of 34.3% demonstrates continued momentum.
Bear Case : EL
The primary concerns for EL are Revenue Growth, Altman Z-Score, Piotroski F-Score. Debt-to-equity of 2.74 is elevated, increasing financial risk.
Bear Case : SHOP
The primary concerns for SHOP are PEG Ratio, Price/Book, Piotroski F-Score. A P/E of 103.4x leaves little room for execution misses.
Key Dynamics to Monitor
EL profiles as a turnaround stock while SHOP is a growth play — different risk/reward profiles.
SHOP carries more volatility with a beta of 2.64 — expect wider price swings.
SHOP is growing revenue faster at 34.3% — sustainability is the question.
SHOP generates stronger free cash flow (469M), providing more financial flexibility.
Bottom Line
SHOP scores higher overall (50/100 vs 38/100) and 34.3% revenue growth. EL offers better value entry with a 35.7% margin of safety. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Estee Lauder Companies Inc
CONSUMER DEFENSIVE · HOUSEHOLD & PERSONAL PRODUCTS · USA
The Estee Lauder Companies Inc. is an American multinational manufacturer and marketer of prestige skincare, makeup, fragrance and hair care products, based in Midtown Manhattan, New York City. The company owns a diverse portfolio of brands, distributed internationally through both digital commerce and retail channels.
Visit Website →Shopify Inc
TECHNOLOGY · SOFTWARE - APPLICATION · USA
Shopify Inc., a commerce company, offers a commerce and service platform in Canada, the United States, the United Kingdom, Australia, Latin America, and internationally. The company is headquartered in Ottawa, Canada.
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