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The Estee Lauder (The Estee Lauder) 5-Year RORE % : -33.45% (As of Dec. 2023)


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What is The Estee Lauder 5-Year RORE %?

Return on Retained Earnings (RORE) is an indicator of a company's growth potential, it shows how much a company earns by reinvesting its retained earnings, i.e. profits after dividend payments. The Estee Lauder's 5-Year RORE % for the quarter that ended in Dec. 2023 was -33.45%.

The industry rank for The Estee Lauder's 5-Year RORE % or its related term are showing as below:

EL's 5-Year RORE % is ranked worse than
82.71% of 1550 companies
in the Consumer Packaged Goods industry
Industry Median: 6.86 vs EL: -33.45

The Estee Lauder 5-Year RORE % Historical Data

The historical data trend for The Estee Lauder's 5-Year RORE % 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 5-Year RORE % Chart

The Estee Lauder Annual Data
Trend Jun14 Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23
5-Year RORE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 19.23 -12.77 34.63 23.83 -14.95

The Estee Lauder Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
5-Year RORE % Get a 7-Day Free Trial 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 -1.69 -12.90 -14.95 -29.39 -33.45

Competitive Comparison of The Estee Lauder's 5-Year RORE %

For the Household & Personal Products subindustry, The Estee Lauder's 5-Year RORE %, along with its competitors' market caps and 5-Year RORE % 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's 5-Year RORE % Distribution in the Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, The Estee Lauder's 5-Year RORE % distribution charts can be found below:

* The bar in red indicates where The Estee Lauder's 5-Year RORE % falls into.



The Estee Lauder 5-Year RORE % Calculation

The Estee Lauder's 5-Year RORE % for the quarter that ended in Dec. 2023 is calculated as:

5-Year RORE %=( Most Recent EPS (Diluted)- First Period EPS (Diluted) )/( Cumulative EPS (Diluted) for 5-year -Cumulative Dividends per Share for 5-year )
=( 1.3-5.07 )/( 21.82-10.55 )
=-3.77/11.27
=-33.45 %

* 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.

In the calculation of 5-Year RORE %, the most recent and first period EPS (Diluted) is the trailing twelve months (TTM) data ended in Dec. 2023 and 5-year before.


The Estee Lauder  (NYSE:EL) 5-Year RORE % Explanation

Return on Retained Earnings (RORE) is important to investors because it reveals a company's efficiency and growth potential. A higher RORE indicates a higher return. A high RORE indicates that the company should reinvest profits into the business. A lower RORE suggests that the company should distribute profits to shareholders by paying out dividends, since those dollars aren't generating much additional growth for the company.

There are a several different ways to arrive at the Return on Retained Earnings. The simplest way to calculate it is by using published information on Earnings per Share (EPS) and Dividend per Share (DPS) over a selected period. Here, 5-year period is chosen.

Be Aware

Please keep in mind that the RORE is relative to the nature of the business and its competitors. If another company in the same sector is producing a lower return on retained earnings, it doesn’t necessarily mean it’s a bad investment. It may just suggest the company is older and no longer in a high growth stage. At such a stage in the business cycle, it would be expected to see a lower RORE and higher dividend payout.


The Estee Lauder 5-Year RORE % Related Terms

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The Estee Lauder (The Estee Lauder) Business Description

Address
767 Fifth Avenue, New York, NY, USA, 10153
Estee Lauder is a leader in the global prestige beauty market, participating across skin care (56% of 2022 sales), makeup (26%), fragrance (14%), and hair care (4%) categories, with top-selling brands such as Estee Lauder, Clinique, M.A.C, La Mer, Jo Malone London, Aveda, Bobbi Brown, and Origins. The firm operates in more than 150 countries, generating 26% of revenue from the Americas, 43% from Europe, the Middle East and Africa (including travel retail), and 31% from Asia Pacific. Estee Lauder sells its products through department stores, travel retail, specialty multibrand beauty stores, brand-dedicated freestanding stores, e-commerce, salons/spas, and perfumeries.
Executives
Charlene Barshefsky director
Jane Lauder director 767 FIFTH AVENUE, NEW YORK NY 10153
Hudis Jane Hertzmark officer: Group President C/O THE ESTEE LAUDER COMPANIES INC., 767 FIFTH AVENUE, NEW YORK NY 10153
Carl P. Haney officer: EVP-Global R&D C/O ESTEE LAUDER COMPANIES INC., 767 FIFTH AVENUE, NEW YORK NY 10153
Jennifer Hyman director 767 FIFTH AVENUE, C/O THE ESTEE LAUDER COMPANIES INC., NEW YORK NY 10153
Fabrizio Freda officer: President and COO 767 FIFTH AVENUE, NEW YORK NY 10153
De La Faverie Stephane officer: Executive Group President C/O THE ESTEE LAUDER COMPANIES INC., NEW YORK NY 10153
Michael O'hare officer: EVP-Global Human Resources 767 FIFTH AVENUE, NEW YORK NY 10153
Wei Sun Christianson director MORGAN STANLEY, TOWER 1, 18 TAIPINGQIAO ST. XICHENG DIST, BEIJING F4 1000032
Barry S Sternlicht director STARWOOD CAPITAL GROUP GLOBAL LP, 1601 WASHINGTON AVENUE, SUITE 800, MIAMI BEACH FL 33139
Angela Wei Dong director C/O THE ESTEE LAUDER COMPANIES INC., 767 FIFTH AVENUE, NEW YORK NY 10153
Peter Jueptner officer: President, International
Arturo Nunez director C/O THE ESTEE LAUDER COMPANIES INC., 767 FIFTH AVENUE, NEW YORK NY 10153
Ronald S Lauder director, 10 percent owner, officer: Chairman Clinique Labs, Inc. 767 FIFTH AVENUE, NEW YORK NY 10153
John Demsey officer: Group President 767 FIFTH AVENUE, NEW YORK NY 10036

The Estee Lauder (The Estee Lauder) Headlines