Essity ABMEX:ESSITYBN 89 Owner Earnings per Share (TTM) is 32.69 as of Mar. 2026, which is 99% above its 10-year median of 16.39. GuruFocus rates MEX:ESSITYBN with a GF Score™ of 89/100 and a GF Value™ of MXN486.22. The stock has 3 warning signs investors should review. Among 998 Consumer Packaged Goods companies, Essity AB ranks worse than 52.1% on this metric.
"These represent (a) reported earnings plus (b) depreciation, depletion, amortization, and certain other non-cash charges...less (c) the average annual amount of capitalized expenditures for plant and equipment, etc. that the business requires to fully maintain its long-term competitive position and its unit volume (If the business requires additional working capital to maintain its competitive position and unit volume, the increment also should be included in (c))...Our owner-earnings equation does not yield the deceptively precise figures provided by GAAP, since (c) must be a guess - and one sometimes very difficult to make. Despite this problem, we consider the owner earnings figure, not the GAAP figure, to be the relevant item for valuation purposes - both for investors in buying stocks and for managers in buying entire businesses...All of this points up the absurdity of the 'cash flow' numbers that are often set forth in Wall Street reports. These numbers routinely include (a) plus (b) - but do not subtract (c)."
Essity AB's Owner Earnings per Share (TTM) ended in Mar. 2026 was MXN32.69. It's Price-to-Owner-Earnings ratio for today is 15.33.
The historical rank and industry rank for Essity AB's Owner Earnings per Share (TTM) or its related term are showing as below:
MEX:ESSITYBN'
s Price-to-Owner-Earnings Range Over the Past 10 Years
Min: 7.34 Med: 16.39 Max: 38.26
Current: 15.34
During the past 13 years, the highestPrice-to-Owner-Earnings ratio of Essity AB was 38.26. The lowest was 7.34. And the median was 16.39.
MEX:ESSITYBN's Price-to-Owner-Earnings is ranked worse than 52.1% of 998
companies
in the Consumer Packaged Goods industry
Industry Median: 14.34
vs MEX:ESSITYBN: 15.34
Assumption: Companies usually do not report maintenance capital expenditures and growth capital expenditures separately. Here we use estimated numbers and average them over 5 years. The method to estimate maintenance capital expenditures can be found in above part 4.
Note: GuruFocus' Change In Working Capital is provided by Morningstar. It is calculated by adding the items under "Change in operating assets and liabilities" (may refer to a different name for different company) section in Cash Flow Statement from original financial report. And it includes non-current parts of assets and liabilities.
Essity AB Owner Earnings per Share (TTM) Related Terms
Essity AB Owner Earnings per Share (TTM) Historical Data
* Premium members only.
The historical data trend for Essity AB's Owner Earnings per Share (TTM) 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.
MEX:ESSITYBN vs PG, CL, KVUE: Owner Earnings per Share (TTM) Comparison
For the Household & Personal Products subindustry, Essity AB's Price-to-Owner-Earnings, along with its competitors' market caps and Price-to-Owner-Earnings 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.
Essity AB Price-to-Owner-Earnings vs Consumer Packaged Goods Industry
For the Consumer Packaged Goods industry and Consumer Defensive sector, Essity AB's Price-to-Owner-Earnings distribution charts can be found below:
* The bar in red indicates where Essity AB's Price-to-Owner-Earnings falls into.
"These represent (a) reported earnings plus (b) depreciation, depletion, amortization, and certain other non-cash charges...less (c) the average annual amount of capitalized expenditures for plant and equipment, etc. that the business requires to fully maintain its long-term competitive position and its unit volume. (If the business requires additional working capital to maintain its competitive position and unit volume, the increment also should be included in (c))...Our owner-earnings equation does not yield the deceptively precise figures provided by GAAP, since (c) must be a guess - and one sometimes very difficult to make. Despite this problem, we consider the owner earnings figure, not the GAAP figure, to be the relevant item for valuation purposes - both for investors in buying stocks and for managers in buying entire businesses...All of this points up the absurdity of the 'cash flow' numbers that are often set forth in Wall Street reports. These numbers routinely include (a) plus (b) - but do not subtract (c)."
3. Other non-cash charges usually include "Stock Based Compensation" and "Change In Deferred Tax":
However, to be conservative, GuruFocus will not add Stock Based Compensation back to net income.
Essity AB's Change In Deferred Tax for the trailing twelve months (TTM) ended in Mar. 2026 was MXN0 Mil.
4. Average maintenance capital expenditure over a business/industry cycle: 5-Year Average Maintenance Capital Expenditure = MXN10,339 Mil
It is usually best to take a long-term average of maintenance capital expenditure. Ideally this would be as long as 10 years and include at least one economic downturn. However, since many companies do not have as long as 10-year history, here GuruFocus uses the latest 5 years data to do the calculation. To smooth out unusual years but reflect recent developments, we take an average of the 5 year maintenance capital expenditure.
The following shows how to get maintenance capital expenditure.
First, calculate the revenue change regarding to the previous quarter. If the revenue decreased from the previous quarter, then the Maintenance Capital Expenditure = Capital Expenditure (positive).
Second, if the revenue increased from the previous quarter, then calculate the percentage of Net PPE as of corresponding Revenue.
Growth Capital Expenditure = Percentage of Property, Plant and Equipment as of corresponding Revenue * Revenue Increase
Third, calculate Capital Expenditure (positive) - Growth Capital Expenditure.
If [Capital Expenditure (positive) - Growth Capital Expenditure] was negative, then the Maintenance Capital Expenditure = Capital Expenditure (positive).
If [Capital Expenditure (positive) - Growth Capital Expenditure] was positive, then the Maintenance Capital Expenditure = Capital Expenditure (positive) - Growth Capital Expenditure.
Fourth, get the average of the 5 years maintenance capital expenditure.
Essity AB's 5-Year Average Maintenance Capital Expenditure = MXN10,339 Mil
5. "Change In Working Capital" is from cashflow statement. Essity AB's Change In Working Capital for the trailing twelve months (TTM) ended in Mar. 2026 was MXN-3,743 Mil.
Note: GuruFocus' Change in Working Capital is provided by Morningstar. It is calculated by adding the items under "Change in operating assets and liabilities" (may refer to a different name for different company) section in Cash Flow Statement from original financial report. And sometimes it includes non-current parts of assets and liabilities.
* 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.
What does a Owner Earnings per Share (TTM) of 32.69 mean?
Essity AB (MEX:ESSITYBN) has a Owner Earnings per Share (TTM) of 32.69 as of Mar. 2026. Warren Buffett defined owner earnings as reported earnings plus depreciation less average maintenance capital expenditure. View historical data on Essity AB. This is 99% above median its historical median of 16.39. Over the past decade, Essity AB's Owner Earnings per Share (TTM) has ranged from 7.34 to 38.26. According to the industry distribution chart, Essity AB ranks #520 out of 998 companies in the Consumer Packaged Goods industry, placing it in the top 52.1%.
Is Essity AB's Owner Earnings per Share (TTM) too high?
Essity AB's current Owner Earnings per Share (TTM) of 32.69 is 99% above median its 10-year median of 16.39. Over the past 10 years, this metric has ranged from a low of 7.34 to a high of 38.26. The Consumer Packaged Goods industry median Owner Earnings per Share (TTM) is 14.34. Essity AB's value of 32.69 is 128% above this industry median. Based on the distribution chart, Essity AB ranks #520 out of 998 companies in the Consumer Packaged Goods industry, which is below the industry midpoint. Overall, Essity AB has a GF Score™ of 89/100, reflecting its overall financial health beyond just this single metric.
How does Essity AB's Owner Earnings per Share (TTM) compare to PG and CL?
According to the Consumer Packaged Goods industry distribution chart, Essity AB ranks #520 out of 998 companies for Owner Earnings per Share (TTM). This places Essity AB in the lower half of its industry. The industry median Owner Earnings per Share (TTM) is 14.34. Essity AB's value of 32.69 is 128% above this benchmark. Historically, Essity AB's own Owner Earnings per Share (TTM) has ranged from 7.34 to 38.26 over the past decade. While the company's 10-year median is 16.39 vs. the industry median of 14.34, Essity AB has consistently been above 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 Owner Earnings per Share (TTM) for a Consumer Packaged Goods company?
The median Owner Earnings per Share (TTM) among Consumer Packaged Goods companies is 14.34, based on 998 companies in the industry. Companies in the top quartile (top 25%) have a Owner Earnings per Share (TTM) significantly above this median, while those in the bottom quartile fall well below. However, Owner Earnings per Share (TTM) should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Essity AB's current Owner Earnings per Share (TTM) of 32.69 is 128% above 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 Owner Earnings per Share (TTM) mean?
A high Owner Earnings per Share (TTM) can signal that a stock is expensive relative to its fundamentals. Warren Buffett defined owner earnings as reported earnings plus depreciation less average maintenance capital expenditure. View historical data on Essity AB. For the Consumer Packaged Goods industry, the median Owner Earnings per Share (TTM) is 14.34 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Essity AB's current Owner Earnings per Share (TTM) is 32.69, which is 99% above median its own 10-year median of 16.39. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Essity AB stock overvalued right now?
Essity AB (MEX:ESSITYBN) has a current Owner Earnings per Share (TTM) of 32.69. The stock's GF Value™ is MXN486.22, compared to a current price of MXN501.28 — trading 3.1% above its estimated fair value. The current Owner Earnings per Share (TTM) is 32.69, which is 99% above median its 10-year median of 16.39 and 128% above the Consumer Packaged Goods industry median of 14.34. Essity AB's overall GF Score™ is 89/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Owner Earnings per Share (TTM) calculated?
Owner Earnings per Share (TTM) is calculated from a company's financial statements. For Essity AB (MEX:ESSITYBN), the current Owner Earnings per Share (TTM) is 32.69 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 Essity AB (MEX:ESSITYBN) Overvalued in 2026?
Based on GuruFocus' analysis, Essity AB stock appears to be overvalued.
The current stock price of MXN501.28 is trading 3.1% above its estimated GF Value™ of MXN486.22.
Key valuation signals for MEX:ESSITYBN:
Owner Earnings per Share (TTM): 32.69 (99% above median its 10-year median of 16.39)
GF Value™: MXN486.22 vs. price of MXN501.28 (3.1% above fair value)
Industry Position: 128% above the Consumer Packaged Goods median (#520 of 998)
No single metric tells the full story. See the MEX:ESSITYBN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Essity is a health and hygiene company spun out of Svenska Cellulosa in June 2017. Essity's products span the feminine care, baby care, toilet paper, facial tissue, and wet wipes categories, as well as hand soap, hand sanitizers, and tissue dispensers for institutional customers. Essity also offers medical solutions in the form of wound care, orthopedics, and compression therapy, accounting for around 8% of net sales. Essity operates in 150 markets and generates 61% of its revenue in Europe.
89GF Score
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