Estee Lauder Companies Inc (EL)vsWaters Corporation (WAT)
EL
Estee Lauder Companies Inc
$73.11
+2.28%
CONSUMER DEFENSIVE · Cap: $26.45B
WAT
Waters Corporation
$302.32
+0.13%
HEALTHCARE · Cap: $29.66B
Smart Verdict
WallStSmart Research — data-driven comparison
Estee Lauder Companies Inc generates 363% more annual revenue ($14.67B vs $3.17B). WAT leads profitability with a 20.3% profit margin vs -1.2%. WAT appears more attractively valued with a PEG of 1.25. WAT earns a higher WallStSmart Score of 60/100 (C).
EL
Hold41
out of 100
Grade: D
WAT
Buy60
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for EL.
Margin of Safety
-349.9%
Fair Value
$73.17
Current Price
$302.32
$229.15 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Generating 1.0B in free cash flow
Strong operational efficiency at 33.8%
Safe zone — low bankruptcy risk
Every $100 of equity generates 29 in profit
Keeps 20 of every $100 in revenue as profit
Areas to Watch
Expensive relative to growth rate
Distress zone — elevated risk
Weak financial health signals
ROE of -4.3% — below average capital efficiency
Moderate valuation
Earnings declined 3.1%
Comparative Analysis Report
WallStSmart ResearchBull Case : EL
The strongest argument for EL centers on Free Cash Flow.
Bull Case : WAT
The strongest argument for WAT centers on Operating Margin, Altman Z-Score, Return on Equity. Profitability is solid with margins at 20.3% and operating margin at 33.8%. PEG of 1.25 suggests the stock is reasonably priced for its growth.
Bear Case : EL
The primary concerns for EL are PEG Ratio, Altman Z-Score, Piotroski F-Score. Debt-to-equity of 2.74 is elevated, increasing financial risk.
Bear Case : WAT
The primary concerns for WAT are P/E Ratio, EPS Growth.
Key Dynamics to Monitor
EL profiles as a turnaround stock while WAT is a mature play — different risk/reward profiles.
WAT carries more volatility with a beta of 1.20 — expect wider price swings.
WAT is growing revenue faster at 6.8% — sustainability is the question.
EL generates stronger free cash flow (1.0B), providing more financial flexibility.
Bottom Line
WAT scores higher overall (60/100 vs 41/100), backed by strong 20.3% margins. 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 →Waters Corporation
HEALTHCARE · DIAGNOSTICS & RESEARCH · USA
Waters Corporation is a publicly traded Analytical Laboratory instrument and software company headquartered in Milford, Massachusetts.
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