e.l.f. Beauty's analyst price target has been modestly increased from approximately $150.79 to $152.93 as analysts anticipate stronger sales contribution from Rhode following its successful launch and continued growth opportunities for the company.

Analyst Commentary

Recent Street research on e.l.f. Beauty reveals a mix of optimism and caution from the analyst community as they evaluate the company's recent performance, the impact of the high-profile Rhode launch, and future growth prospects.

• Bullish analysts have raised price targets multiple times, citing positive momentum from the Rhode acquisition and continued growth in core brands.
• There is confidence in the sustainability of above-consensus revenue growth, supported by strong early sales data and record-breaking launches at major retail partners.
• Visibility into future earnings has improved, with upward revisions to earnings estimates for fiscal 2026 and 2027 reflecting expected contributions from Rhode.
• Analysts see e.l.f. Beauty as one of the best value offerings in mass beauty. They note there is room for further expansion, innovative product launches, and successful price increases that could provide further upside to both sales and margins.

• Some cautious analysts highlight volatility in Rhode’s quarterly performance. Recent standalone revenues have fallen short of prior expectations and there is uncertainty around seasonality patterns.
• Concerns remain regarding the lack of clear forward-looking margin guidance, especially following a quarter where guidance was below consensus.
• At least one major institution has downgraded the stock to a hold rating, citing valuation concerns and the potential for limited near-term upside following significant stock appreciation.
• Execution risks around integrating new brands and realizing expected synergies could pose headwinds if outcomes do not meet elevated forecasts.

What's in the News

• e.l.f. Beauty introduced the latest episode of its Show Yourse.l.f. film series featuring professional soccer player Jess Carter. The film highlights Carter's rise in women's soccer and aims to inspire young athletes by promoting visibility and access in sports. (Key Developments)
• e.l.f. Beauty completed its previously announced share buyback program, repurchasing a total of 701,346 shares valued at $50 million. No additional shares were repurchased in the most recent tranche. (Key Developments)
• The company provided new earnings guidance for the first half of fiscal year 2026 and is projecting net sales growth exceeding the 9% reported in the first quarter of fiscal 2026. (Key Developments)

Valuation Changes

• Consensus Analyst Price Target has risen slightly, increasing from $150.79 to $152.93.
• Discount Rate has edged down from 7.66% to 7.61%.
• Revenue Growth projection is virtually unchanged, moving marginally from 19.22% to 19.20%.
• Net Profit Margin estimate has increased fractionally, from 13.22% to 13.22%.
• Future P/E ratio has risen moderately, moving from 35.66x to 36.13x.