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The Estee Lauder (MEX:EL) Peter Lynch Fair Value

: MXN517.20 (As of Today)
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Peter Lynch Fair Value applies to growing companies. The ideal range for the growth rate is between 10 - 20% a year. Peter Lynch thinks that the fair P/E value for a growth company equals its growth rate, that is PEG = 1. The earnings here is trailing twelve month (TTM) earnings. For non-bank companies, the growth rate we use is the average growth rate for EBITDA per share over the past 5 years. For Banks, the growth rate we use is the average growth rate for Book Value per share over the past 5 years. If 5-Year Growth Rate is greater than 25% a year, we use 25. If 5-Year Growth Rate is smaller than 5% a year, we do not calculate Peter Lynch Fair Value.

Here, as of today, The Estee Lauder's PEG is 1. The Estee Lauder's 5-Year TTM EBITDA Growth Rate is 8.77. The Estee Lauder's EPS without NRI for the trailing twelve months (TTM) ended in Mar. 2023 was MXN58.97. Therefore, the Peter Lynch Fair Value for today is MXN517.20.

As of today (2023-06-02), The Estee Lauder's share price is MXN3274.18. The Estee Lauder's Peter Lynch fair value is MXN517.20. Therefore, The Estee Lauder's Price to Peter Lynch Fair Value Ratio for today is 6.33.


The historical rank and industry rank for The Estee Lauder's Peter Lynch Fair Value or its related term are showing as below:

MEX:EL' s Price-to-Peter-Lynch-Fair-Value Range Over the Past 10 Years
Min: 1.35   Med: 2.91   Max: 25.12
Current: 8.48


During the past 13 years, the highest Price to Peter Lynch Fair Value Ratio of The Estee Lauder was 25.12. The lowest was 1.35. And the median was 2.91.


MEX:EL's Price-to-Peter-Lynch-Fair-Value is ranked worse than
97.3% of 519 companies
in the Consumer Packaged Goods industry
Industry Median: 1.05 vs MEX:EL: 8.48

Note: Please don't confuse Peter Lynch Fair Value with the value reached in Peter Lynch Chart.


The Estee Lauder Peter Lynch Fair Value Historical Data

The historical data trend for The Estee Lauder's Peter Lynch Fair Value 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.

* Premium members only.

The Estee Lauder Annual Data
Trend Jun13 Jun14 Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22
Peter Lynch Fair Value
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 389.28 784.37 336.67 831.34 1,527.27

The Estee Lauder Quarterly Data
Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23
Peter Lynch Fair Value Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 2,041.10 1,527.27 1,340.05 756.89 389.19

Competitive Comparison

For the Household & Personal Products subindustry, The Estee Lauder's Peter Lynch Fair Value, along with its competitors' market caps and Peter Lynch Fair Value 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 Peter Lynch Fair Value Distribution

For the Consumer Packaged Goods industry and Consumer Defensive sector, The Estee Lauder's Peter Lynch Fair Value distribution charts can be found below:

* The bar in red indicates where The Estee Lauder's Peter Lynch Fair Value falls in comparison to its industry or sector. The grey bar indicates the Peter Lynch Fair Value's extreme value range as defined by GuruFocus.



The Estee Lauder Peter Lynch Fair Value Calculation

The Estee Lauder's Peter Lynch Fair Value for today is calculated as

Peter Lynch Fair Value=PEG Ratio*5-Year TTM EBITDA Growth Rate***EPS without NRI (TTM)
=1* 8.77 *58.974
=517.20

The Estee Lauder's EPS without NRI for the trailing twelve months (TTM) ended in Mar. 2023 adds up the quarterly data reported by the company within the most recent 12 months, which was MXN58.97.


* 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.

** Please be aware that the 5-Year TTM EBITDA Growth Rate is calculated based on TTM data over the last 5 years. For quarterly reported companies, the TTM data adds up the quarterly data reported by the company within the most recent 12 months. For companies that report semi-annually, annually, or do not have enough quarterly data, GuruFocus uses the annual data as the TTM data.

If 5-Year Earnings Growth Rate is greater than 25% a year, we use 25.

If 5-Year Earnings Growth Rate is smaller than 5% a year, we do not calculate Peter Lynch Fair Value.

Please note that we use the 5-year average growth rate of EBITDA per share as the growth rate for non-bank companies, as EBITDA growth is subject to less manipulations than net earnings per share. For banks, we use the 5-year average growth rate of Book Value per share as the growth rate. The reason is that EBITDA is not applicable to Banks and Book value is a relative important measurement for Banks. In the calculation, PEG=1 because Peter Lynch thinks that the fair P/E ratio of the growth stock is equal to its earnings growth rate.


The Estee Lauder  (MEX:EL) Peter Lynch Fair Value Explanation

Peter Lynch Fair Value applies to growing companies. The ideal range for the growth rate is between 10 - 20% a year.

Peter Lynch thinks that the fair P/E value for a growth company equals its growth rate, that is PEG = 1. The earnings here is trailing twelve month (TTM) earnings. For non-bank companies, the growth rate we use is the average growth rate for EBITDA per share over the past 5 years. For Banks, the growth rate we use is the average growth rate for Book Value per share over the past 5 years.

Please don't confuse Peter Lynch Fair Value with the value reached in Peter Lynch Chart. In Peter Lynch chart, a fixed P/E ratio of 15 is used to draw the Earnings Line. Therefore the value reached has a P/E ratio of 15. But in Peter Lynch Fair Value calculation, P/E equals to the growth rate of EBITDA per share over the past 5 years, which is 8.77 instead of 15 in this case.

The Estee Lauder's Price to Peter Lynch Fair Value Ratio for today is calculated as

Price to Peter Lynch Fair Value=Share Price/Peter Lynch Fair Value
=3274.18/517.20
=6.33

* 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 Peter Lynch Fair Value Related Terms

Thank you for viewing the detailed overview of The Estee Lauder's Peter Lynch Fair Value provided by GuruFocus.com. Please click on the following links to see related term pages.


The Estee Lauder (MEX:EL) Business Description

The Estee Lauder logo
Traded in Other Exchanges
Address
767 Fifth Avenue, New York, NY, USA, 10153
Estee Lauder is the world leader in the global prestige beauty market, participating across skincare (56% of fiscal 2022 sales), makeup (26%), fragrance (14%), and haircare (4%) categories, with popular brands such as Estee Lauder, Clinique, MAC, La Mer, Jo Malone, Aveda, Bobbi Brown, Too Faced, Origins, Dr. Jart+, and The Ordinary. The firm operates in 150 countries, with 26% of fiscal 2022 revenue stemming from the Americas, 43% from Europe, the Middle East and Africa, and 31% from Asia-Pacific. The company sells its products through department stores, travel retail, multibrand specialty beauty stores, brand-dedicated freestanding stores, e-commerce, salons/spas, and perfumeries.

The Estee Lauder (MEX:EL) Headlines