Is Procter & Gamble a Better Buy Than Estee Lauder Companies?
Estee Lauder Companies fell -14% during the past Week. You may be tempted to buy more, or may want to reduce your exposure. But there is an entirely different perspective you might be missing. Is there a better alternative? Turns out, its peer Procter & Gamble gives you more. Procter & Gamble (PG) stock offers superior revenue growth across key periods, better profitability, and relatively lower valuation vs Estee Lauder Companies (EL) stock, suggesting you may be better off investing in PG
- PG’s Last 12 Months revenue growth was 1.1%, vs. EL’s -3.3%.
- In addition, its Last 3-Year Average revenue growth came in at 2.0%, ahead of EL’s -3.5%.
- PG leads on profitability over both periods – LTM margin of 23.6% and 3-year average of 23.7%.
These differences become even clearer when you look at the financials side by side. The table highlights how EL’s fundamentals stack up against those of PG on growth, margins, momentum, and valuation multiples.
Valuation & Performance Overview
| EL | PG | Preferred | |
|---|---|---|---|
| Valuation | |||
| P/EBIT Ratio | 25.3 | 18.5 | PG |
| Revenue Growth | |||
| Last Quarter | 5.6% | 1.5% | EL |
| Last 12 Months | -3.3% | 1.1% | PG |
| Last 3 Year Average | -3.5% | 2.0% | PG |
| Operating Margins | |||
| Last 12 Months | 9.6% | 23.6% | PG |
| Last 3 Year Average | 8.7% | 23.7% | PG |
| Momentum | |||
| Last 3 Year Return | -58.8% | 22.3% | PG |
Note: For “Last 3 Year Return” metric, preferred stock is one with higher returns unless the returns are too high (>300%) which creates risk of sell off.
See more revenue details: EL Revenue Comparison | PG Revenue Comparison
See more margin details: EL Operating Income Comparison | PG Operating Income Comparison
- Why PG Could Outperform Estee Lauder Companies Stock
- Should Estee Lauder Stock Investors Panic?
- Estee Lauder Companies Stock To $66?
- Better Value & Growth: PG Leads Estee Lauder Companies Stock
- PG Tops Estee Lauder Companies Stock on Price & Potential
- Stronger Bet Than Estee Lauder Companies Stock: PG Delivers More
See detailed fundamentals on Buy or Sell PG Stock and Buy or Sell EL Stock. Below we compare market return and related metrics across years.
Historical Market Performance
| 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | Total [1] | Avg | Best | |
|---|---|---|---|---|---|---|---|---|---|
| Returns | |||||||||
| EL Return | 40% | -32% | -40% | -48% | 42% | -4% | -59% | ||
| PG Return | 21% | -5% | -1% | 17% | -12% | 15% | 34% | ||
| S&P 500 Return | 27% | -19% | 24% | 23% | 16% | 1% | 83% | <=== | |
| Monthly Win Rates [3] | |||||||||
| EL Win Rate | 75% | 33% | 42% | 42% | 50% | 33% | 46% | ||
| PG Win Rate | 67% | 33% | 50% | 75% | 25% | 67% | 53% | ||
| S&P 500 Win Rate | 75% | 42% | 67% | 75% | 67% | 67% | 65% | <=== | |
| Max Drawdowns [4] | |||||||||
| EL Max Drawdown | -11% | -48% | -57% | -56% | -33% | -8% | -36% | ||
| PG Max Drawdown | -12% | -23% | -9% | 0% | -15% | -4% | -10% | ||
| S&P 500 Max Drawdown | -1% | -25% | -1% | -2% | -15% | -1% | -7% | <=== | |
[1] Cumulative total returns since the beginning of 2021
[2] 2026 data is for the year up to 3/3/2026 (YTD)
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
No matter how good the numbers, stock investment is never a smooth ride. There is a risk you must factor in. Read EL Dip Buyer Analyses to see how the stock has fallen and recovered in the past.
Still not sure about EL or PG? Consider portfolio approach.
Portfolios Over Individual Stock Picks
Individual stocks are unpredictable. A smart portfolio helps you invest, limits downside shocks, and provides upside exposure.
Why settle for average market returns? The Trefis High Quality (HQ) Portfolio invests in a diverse group of 30 stocks that have collectively delivered stronger upside with reduced volatility compared to the broader indices. Discover the methodology behind these smoother, higher returns by checking the HQ Portfolio performance data.