Estee Lauder Cos. Inc (EL) is overvalued and Kenvue Inc (KVUE) is overvalued.
Both trade above our estimate of their intrinsic value. KVUE is the closer of the two: -30%, against -404% for EL.
Values as of the 22 Sept 2026 close.
Discounting its cash flows at 10.0% (average of 3 methods) values the shares at $19.92; the price of $100.29 is 404% above that value, and 72% of that value comes from beyond year five.
Leak Score 35/100 on 8 of 12 signals
Discounting its cash flows at 7.4% (average of 3 methods) values the shares at $13.69; the price of $17.86 is 30% above that value, and 81% of that value comes from beyond year five.
Leak Score 29/100 on 5 of 12 signals
| Metric | EL | KVUE |
|---|---|---|
| Verdict | Overvalued | Overvalued |
| Price | $100.29 | $17.86 |
| Intrinsic value | $19.92 | $13.69 |
| Margin of safety | -404% | -30% |
| Leak Score | 35/100 (8/12) | 29/100 (5/12) |
| Market cap | $36.3B | $34.3B |
| Revenue growth, 5 years | -1.5% | 0.9% |
| Operating margin | 11.2% | 19.2% |
| Net margin | 1.2% | 10.8% |
| Return on equity | 4.8% | 15.6% |
| Debt to equity | 2.43 | 0.82 |
| P/E | 201.6x | 20.7x |
| Forward P/E | 25.5x | 14.3x |
| P/B | 9.5x | 3.3x |
| Dividend yield | 1.5% | 4.7% |