Zacks.com users have recently been watching e.l.f. Beauty (ELF) quite a bit.
e.l.f. Beauty has faced a massive drawdown, losing over 75% of its value, despite strong revenue growth and social media dominance. ELF's challenges include macroeconomic headwinds, softening demand, tariff and supply chain risks, and lowered revenue and EBITDA guidance for 2025. Despite short-term risks, ELF's strong balance sheet, limited debt, and $500 million share repurchase program make it a compelling long-term investment.
Investors often turn to recommendations made by Wall Street analysts before making a Buy, Sell, or Hold decision about a stock. While media reports about rating changes by these brokerage-firm employed (or sell-side) analysts often affect a stock's price, do they really matter?
In the latest trading session, e.l.f. Beauty (ELF) closed at $53.61, marking a -0.33% move from the previous day.
Recently, Zacks.com users have been paying close attention to e.l.f. Beauty (ELF).
Investors often turn to recommendations made by Wall Street analysts before making a Buy, Sell, or Hold decision about a stock. While media reports about rating changes by these brokerage-firm employed (or sell-side) analysts often affect a stock's price, do they really matter?
e.l.f. Beauty (ELF) has received quite a bit of attention from Zacks.com users lately. Therefore, it is wise to be aware of the facts that can impact the stock's prospects.
Despite e.l.f. Beauty's strong product innovation and market share gains, the stock has plummeted 48% due to management's lowered FY 2025 revenue and earnings outlook. The company saw 31% YoY revenue growth in Q3 FY 2025, while Adjusted EBITDA margins also expanded from outperformance in its international and digital sales. However, a declining category, high December promotions and slower than expected new product launches led the management to lower their FY 2025 guidance.
Recently, Zacks.com users have been paying close attention to e.l.f. Beauty (ELF).
e.l.f. Beauty's stock has plunged over 25% since Q3 2025 earnings, but I argue it's a solid buy due to its strong moat and resilient business model. Despite economic downturns, e.l.f. has shown remarkable resilience and growth, driven by its affordable, high-quality products and strong social media presence. The company's international expansion and strategic investments in marketing and digital are expected to drive long-term revenue growth and margin improvement.
ELF faces significant challenges with weakening sales momentum and rising costs, making its near-term outlook uncertain.
e.l.f. Beauty (ELF) has been one of the stocks most watched by Zacks.com users lately. So, it is worth exploring what lies ahead for the stock.