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Estee Lauder Companies Inc. EL Return on invested capital

Return on invested capital at other companies

Kenvue logo
KenvueKVUE
10.4%+3.2pp
Ulta Beauty, Inc. logo
Ulta Beauty, Inc.ULTA
27.6%-3.5pp
Colgate-Palmolive logo
Colgate-PalmoliveCL
33%-10.3pp
Ralph Lauren logo
Ralph LaurenRL
24.8%+4.5pp
International Flavors & Fragrances logo
International Flavors & FragrancesIFF
3.5%+2.7pp

Other financials

Income statement

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Revenue$3.7B+4.6%
Gross profit$2.8B+6.6%
Operating income$249.0M-18.6%
Net income$89.0M-44.0%
EPS (diluted)$0.24-45.5%

Balance sheet

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Cash & equivalents$3.1B+18.8%
Total debt$8.8B-6.2%
Total equity$4.0B-8.1%
Total assets$19.7B-1.1%

Cash flow

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Operating cash flow$412.0M+45.1%
CapEx$102.0M-16.4%
Free cash flow$310.0M+91.4%

Valuation

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Market cap$29.83B+9.4%
Enterprise value$35.51B+3.8%
P/S+0.2×

Profitability

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Gross margin74.7%+0.9pp
Operating margin2.9%
Net margin-1.7%

Returns & leverage

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Return on equity-5.9%
Debt / equity2.2×0.0×
Current ratio1.3×-0.1×

Where this comes from

Calculated from Estee Lauder Companies Inc.’s reported figures.

Based on trailing twelve months.

The official record: Estee Lauder Companies Inc.’s 10-Q, filed May 1, 2026, on SEC EDGAR. View the filing →

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Questions, answered.

What is Estee Lauder Companies Inc.'s return on invested capital?
Estee Lauder Companies Inc. (EL) reported return on invested capital of 2.1% in Q1 2026.
What is the long-term trend for Estee Lauder Companies Inc.'s return on invested capital?
Over 2 years (2021 to 2023), Estee Lauder Companies Inc.'s return on invested capital has grown at a -9.2% compound annual growth rate (CAGR), from 78.7% to 65%.
What does return on invested capital mean?
The after-tax return the business earns on all the capital — debt and equity — invested in it.
How do you interpret return on invested capital?
The cleanest measure of business quality: ROIC sustained above the cost of capital creates value, below it destroys value. Compare against WACC, not against zero.
How does return on invested capital compare across companies?
Highly comparable across companies as a quality screen. Sector-sensitive definitions of invested capital mean banks/insurers are best excluded.