The Estee LauderMEX:EL 61 Interest Coverage is 6.79 as of Mar. 2026, which is 61% below its 10-year median of 17.63. GuruFocus rates MEX:EL with a GF Score™ of 61/100 and a GF Value™ of MXN1,558.88 (Fairly Valued). The stock has 3 warning signs investors should review. Among 1,510 Consumer Packaged Goods companies, The Estee Lauder ranks worse than 64.17% on this metric.
Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's
Operating Income
by its Interest Expense. The Estee Lauder's
Operating Income
for the
three
months ended in Mar. 2026 was MXN10,044 Mil. The Estee Lauder's Interest Expense for the
three
months ended in Mar. 2026 was MXN-1,479 Mil.
The Estee Lauder's interest coverage for the quarter that ended in Mar. 2026 was 6.79.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for The Estee Lauder's Interest Coverage or its related term are showing as below:
MEX:EL'
s Interest Coverage Range Over the Past 10 Years
Min: 3.2 Med: 17.63 Max: 24.55
Current: 4.59
MEX:EL's Interest Coverage is ranked worse than 64.17% of 1510
companies
in the Consumer Packaged Goods industry
Industry Median: 8.64
vs MEX:EL: 4.59
The Estee Lauder (MEX:EL) Interest Coverage Explanation
Ben Graham requires that a company has a minimum interest coverage of 5 with the companies he invested. If the interest coverage is less than 2, the company is burdened by debt. Any business slow or recession may drag the company into a situation where it cannot pay the interest on its debt.
Interest Coverage is an important factor when GuruFocus ranks a company's overage Financial Strength .
The Estee Lauder Interest Coverage Related Terms
The Estee Lauder Interest Coverage Historical Data
* Premium members only.
The historical data trend for The Estee Lauder's Interest Coverage can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Note: For Interest Coverage, "No debt" indicates no long-term debt. An indication of "No Debt" does not necessarily mean that the company has no long-term debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.
MEX:EL vs KMB, KVUE, CHD: Interest Coverage Comparison
For the Household & Personal Products subindustry, The Estee Lauder's Interest Coverage, along with its competitors' market caps and Interest Coverage data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
The Estee Lauder Interest Coverage vs Consumer Packaged Goods Industry
For the Consumer Packaged Goods industry and Consumer Defensive sector, The Estee Lauder's Interest Coverage distribution charts can be found below:
* The bar in red indicates where The Estee Lauder's Interest Coverage falls into.
Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
The Estee Lauder (MEX:EL) has a Interest Coverage of 6.79 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on The Estee Lauder and its competitors. This is 61% below median its historical median of 17.63. Over the past decade, The Estee Lauder's Interest Coverage has ranged from 3.20 to 24.55. According to the industry distribution chart, The Estee Lauder ranks #969 out of 1510 companies in the Consumer Packaged Goods industry, placing it in the top 64.2%.
Is The Estee Lauder's Interest Coverage too high?
The Estee Lauder's current Interest Coverage of 6.79 is 61% below median its 10-year median of 17.63. Over the past 10 years, this metric has ranged from a low of 3.20 to a high of 24.55. The Consumer Packaged Goods industry median Interest Coverage is 8.64. The Estee Lauder's value of 6.79 is 21.4% below this industry median. Based on the distribution chart, The Estee Lauder ranks #969 out of 1510 companies in the Consumer Packaged Goods industry, which is below the industry midpoint. Overall, The Estee Lauder has a GF Score™ of 61/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does The Estee Lauder's Interest Coverage compare to KMB and KVUE?
According to the Consumer Packaged Goods industry distribution chart, The Estee Lauder ranks #969 out of 1510 companies for Interest Coverage. This places The Estee Lauder in the lower half of its industry. The industry median Interest Coverage is 8.64. The Estee Lauder's value of 6.79 is 21.4% below this benchmark. Historically, The Estee Lauder's own Interest Coverage has ranged from 3.20 to 24.55 over the past decade. While the company's 10-year median is 17.63 vs. the industry median of 8.64, The Estee Lauder has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Interest Coverage for a Consumer Packaged Goods company?
The median Interest Coverage among Consumer Packaged Goods companies is 8.64, based on 1,510 companies in the industry. Companies in the top quartile (top 25%) have a Interest Coverage significantly above this median, while those in the bottom quartile fall well below. However, Interest Coverage should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. The Estee Lauder's current Interest Coverage of 6.79 is 21.4% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Interest Coverage mean?
A high Interest Coverage can signal that a stock is expensive relative to its fundamentals. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on The Estee Lauder and its competitors. For the Consumer Packaged Goods industry, the median Interest Coverage is 8.64 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. The Estee Lauder's current Interest Coverage is 6.79, which is 61% below median its own 10-year median of 17.63. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is The Estee Lauder stock overvalued right now?
Based on GuruFocus' analysis, The Estee Lauder (MEX:EL) is currently considered Fairly Valued. The stock's GF Value™ is MXN1,558.88, compared to a current price of MXN1,470.00 — trading 5.7% below its estimated fair value. The current Interest Coverage is 6.79, which is 61% below median its 10-year median of 17.63 and 21.4% below the Consumer Packaged Goods industry median of 8.64. The Estee Lauder's overall GF Score™ is 61/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Interest Coverage calculated?
Interest Coverage is calculated from a company's financial statements. For The Estee Lauder (MEX:EL), the current Interest Coverage is 6.79 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is The Estee Lauder (MEX:EL) Overvalued in 2026?
Based on GuruFocus' analysis, The Estee Lauder stock appears to be undervalued.
The current stock price of MXN1,470.00 is trading 5.7% below its estimated GF Value™ of MXN1,558.88.
GuruFocus considers The Estee Lauder to be Fairly Valued.
Key valuation signals for MEX:EL:
Interest Coverage: 6.79 (61% below median its 10-year median of 17.63)
GF Value™: MXN1,558.88 vs. price of MXN1,470.00 (5.7% below fair value)
Industry Position: 21.4% below the Consumer Packaged Goods median (#969 of 1510)
No single metric tells the full story. See the MEX:EL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Estée Lauder is a leader in the global prestige beauty market, participating across skin care (49% of fiscal 2025 sales), makeup (29%), fragrance (17%), and hair care and others (5%). Top-selling brands include Estée Lauder, Clinique, M.A.C, La Mer, Jo Malone London, Aveda, Bobbi Brown, and Origins. The firm operates in more than 150 countries, generating 31% of revenue from the Americas, 37% from Europe, the Middle East and Africa (including travel retail), and 32% from Asia-Pacific. Estée Lauder sells its products through department stores, travel retail, specialty multibrand beauty stores, brand-dedicated freestanding stores, e-commerce, salons/spas, and perfumeries.
61GF Score
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