SafetyMargin.ioSafetyMargin.io
BlogWatchlistCompare
Compare Stocks › EL vs UNH

The Estée Lauder Companies Inc. (EL) vs UnitedHealth Group Incorporated (UNH)

EL
The Estée Lauder Companies Inc.
$85.60
VS
UNH
UnitedHealth Group Incorporated
$280.44

Rewards

EL
  • ★Gross margin of 74.3% indicates strong pricing power — typical of businesses with significant intellectual property or brand strength.
UNH
  • ★5 insider purchases over the past 12 months with a buy/sell ratio above 3:1 — a sustained pattern of insider confidence.
  • ★Dividend yield of 3.15% with a consistent or growing payout over the past 4 years.

Risks

EL
  • ⚠ROIC has declined by 14.4 percentage points over the observed period, which may signal competitive erosion.
  • ⚠Despite buyback spending, shares outstanding increased in 3 out of 4 years — stock-based compensation is offsetting repurchases.
  • ⚠FCF yield of 5.5% suggests reasonable valuation assuming continued moderate growth.
UNH
  • ⚠ROIC has declined by 7.9 percentage points over the observed period, which may signal competitive erosion.
  • ⚠Gross margin of 18.5% is low, suggesting a competitive or commodity-like market with limited pricing power.
  • ⚠FCF yield of 5.4% suggests reasonable valuation assuming continued moderate growth.

Key Valuation Metrics

Learn more →
EL
UNH
Valuation
$1.70B
Free Cash Flow
$13.86B
5.47%
FCF Yield
5.45%
N/A
Trailing P/E
21.18
28.23
Forward P/E
14.08
Quality & Moat
12.31%
ROIC
0.64%
-28.11%
ROE
11.85%
74.32%
Gross Margin
18.53%
N/A
PEG Ratio
N/A
Balance Sheet Safety
2.33
Debt / Equity
0.82
N/A
Interest Coverage
N/A
2.86
Net Debt / EBITDA
2.54
1.64%
Dividend Yield
3.15%
EL: 2Ties: 2UNH: 6
ELUNH

Historical Fundamentals

Learn more →
EL

Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.

UNH

Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.

Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.

$1 Retained Earnings Test

Learn more →
EL
N/A
Net losses over 3 years — test not applicable
Company had negative cumulative retained earnings
Σ Retained
$-2.23B
Δ Market Cap
$-50.91B
Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
UNH
$-7.37
created per $1 retained over 3 years
Market Cap Declined
Σ Retained
$26.63B
Δ Market Cap
$-196.16B
Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer

Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer

Discounted Cash Flow (DCF) Analysis

Learn more →
EL
73.5% Margin of Safety
Price is 73.5% below estimated fair value
Current Price: $85.60
Fair Value: $323.24
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued
UNH
4.9% Margin of Safety
Price is 4.9% below estimated fair value
Current Price: $280.44
Fair Value: $294.90
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued

Reverse DCF — Market-Implied Growth

Learn more →
EL

What growth rate is the market pricing in at $86?

+9.0%
Market-Implied FCF Growth Rate

Market pricing in significantly higher growth than history — aggressive.

UNH

What growth rate is the market pricing in at $280?

+11.1%
Market-Implied Owner Earnings Growth
Standard FCF implies +9.2%

The market implies +11.1% Owner Earnings growth, above historical trends.

Standard FCF implies a demanding +9.2%, reflecting heavy growth investment.

Economic Moat Score

Learn more →
EL
36/100
No Moat
70+ Wide · 40-69 Narrow · <40 None

No durable moat detected, though revenue predictability shows some competitive positioning. The business lacks consistent evidence of sustainable advantages.

Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 4 years of fundamental data.
UNH
64/100
Narrow Moat
70+ Wide · 40-69 Narrow · <40 None

Narrow moat with revenue predictability as the key competitive advantage. Improving margin stability would strengthen the moat.

Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 4 years of fundamental data.

Forensic Accounting

Learn more →
EL
-3.21
Unlikely Manipulator
Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone

M-Score Trend

Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.
UNH
-2.45
Unlikely Manipulator
Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone

M-Score Trend

Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.

Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.

Ownership Breakdown

Learn more →
EL
Insiders 1.6%Institutions 95.9%Retail & Other 2.6%
No. of Institutional Holders1,345
High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.
UNH
Insiders 0.8%Institutions 84.2%Retail & Other 14.9%
No. of Institutional Holders4,244
High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.

High insider ownership aligns management incentives with shareholders. Institutional concentration can indicate smart-money conviction but also crowding risk.

Insider Buying Activity

Learn more →
EL
0
Buys (3M)
0
Buys (12M)
FRIBOURG PAUL J
Director
$2.96M
@ $65.00 · 2025-02-07
FRIBOURG PAUL J
Director
$5.72M
@ $65.80 · 2025-02-06
SHRIVASTAVA AKHIL
Chief Financial Officer
$46,053
@ $65.79 · 2025-02-05
FRIBOURG PAUL J
Director
$5.02M
@ $64.48 · 2024-11-19
FRIBOURG PAUL J
Director
$9.86M
@ $64.46 · 2024-11-18
SHRIVASTAVA AKHIL
Chief Financial Officer
$65,000
@ $65.00 · 2024-11-14
FRIBOURG PAUL J
Director
$10.05M
@ $63.98 · 2024-11-14
Open market purchases · includes direct & indirect ownership · excludes option exercises
UNH
0
Buys (3M)
5
Buys (12M)
Total value (12M): $31.61M
REX JOHN F
President
$5.00M
@ $291.12 · 2025-05-16
HEMSLEY STEPHEN J
Chief Executive Officer
$25.02M
@ $288.57 · 2025-05-16
GIL KRISTEN
Director
$1.00M
@ $271.17 · 2025-05-15
FLYNN TIMOTHY PATRICK
Director
$491,786
@ $320.80 · 2025-05-14
NOSEWORTHY JOHN H
Director
$93,647
@ $312.16 · 2025-05-14
FLYNN TIMOTHY PATRICK
Director
$511,575
@ $511.57 · 2025-01-17
Open market purchases · includes direct & indirect ownership · excludes option exercises

Open market purchases · includes direct & indirect ownership · excludes option exercises.

Insider Selling Activity

Learn more →
EL
0
Sells (3M)
10
Sells (12M)
Total value (12M): $1.02B
LA LANDE RASHIDA K
General Counsel
$151,498
@ $94.45 · 2025-11-26
LAUDER JANE A
Director and Beneficial Owner of more than 10% of a Class of Security
$1.68M
@ $94.38 · 2025-11-26
WEBSTER MERIDITH P
Officer
$476,971
@ $87.84 · 2025-11-18
STERNLICHT BARRY S
Director
$364,749
@ $91.83 · 2025-11-11
LAL 2015 ELF TRUST
Trustee
$508.60M
@ $89.70 · 2025-11-06
EVELYN H. LAUDER 2012 MARITAL TRUST TWO
Trustee
$255.22M
@ $89.70 · 2025-11-06
LEONARD A LAUDER 2013 REVOCABLE TRUST
Beneficial Owner of more than 10% of a Class of Security
$249.91M
@ $89.70 · 2025-11-06
FORESTER LYNN
Director
$339,288
@ $91.65 · 2025-08-29
LA LANDE RASHIDA K
General Counsel
$589,594
@ $91.88 · 2025-08-28
LAUDER JANE A
Director and Beneficial Owner of more than 10% of a Class of Security
$1.39M
@ $88.23 · 2025-08-21
FREDA FABRIZIO
Chief Executive Officer
$743,259
@ $67.76 · 2024-11-01
FORESTER LYNN
Director
$364,143
@ $93.61 · 2024-08-23
LAUDER JANE A
Officer, Director and Beneficial Owner
$1.82M
@ $121.26 · 2024-05-30
JUEPTNER PETER
Officer
$1.67M
@ $130.62 · 2024-05-22
TRAVIS TRACEY THOMAS
Chief Financial Officer
$1.97M
@ $135.73 · 2024-05-15
Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives
UNH
0
Sells (3M)
1
Sells (12M)
Total value (12M): $179,645
CONWAY PATRICK HUGH M.D.
Chief Executive Officer
$179,645
@ $305.00 · 2025-06-10
MCSWEENEY ERIN L
Officer
$438,987
@ $626.23 · 2024-11-11
Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives

Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives.

🎭 Mr. Market's Mood

Learn more →
EL
FearGreed
😨Fear(33/100)

"Market is pessimistic — investigate whether fears are temporary or structural"

Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.
UNH
FearGreed
😨Fear(37/100)

"Market is pessimistic — investigate whether fears are temporary or structural"

Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.

Composite sentiment score based on market signals. Inspired by Buffett’s "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.

⚖️ Buffett Signal

Learn more →
EL
⚪Awaiting DCF Data

The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.

DCF Margin of Safety: N/AMr. Market's Mood: Fear (33)
UNH
⚪Awaiting DCF Data

The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.

DCF Margin of Safety: N/AMr. Market's Mood: Fear (37)
View EL Full AnalysisView UNH Full Analysis