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The Honest Company, Inc.NasdaqGS:HNST Stock Report

Market Cap US$362.2m
Share Price
US$3.37
US$3.5
3.7% undervalued intrinsic discount
1Y-34.3%
7D-2.3%
Portfolio Value
View

The Honest Company, Inc.

NasdaqGS:HNST Stock Report

Market Cap: US$362.2m

Honest Company (HNST) Stock Overview

A personal care company, provides personal care products for babies and adults. More details

HNST fundamental analysis
Snowflake Score
Valuation1/6
Future Growth3/6
Past Performance0/6
Financial Health6/6
Dividends0/6

HNST Community Fair Values

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See what 92 others think this stock is worth. Follow their fair value or set your own to get alerts.

The Honest Company, Inc. Competitors

Price History & Performance

Summary of share price highs, lows and changes for Honest Company
Historical stock prices
Current Share PriceUS$3.37
52 Week HighUS$5.55
52 Week LowUS$2.07
Beta2.15
1 Month Change15.41%
3 Month Change57.48%
1 Year Change-34.31%
3 Year Change83.15%
5 Year Change-78.94%
Change since IPO-85.35%

Recent News & Updates

Seeking Alpha May 07

The Honest Company: 3 Year Update With A 'Hold' But Increased Price Target

Summary The Honest Company remains rated 'Hold' with a new $2.21/share price target, reflecting improved fundamentals but insufficient risk-adjusted upside. HNST has transitioned from digital to retail channels, exited low-margin categories, and achieved significant gross margin expansion to 43.5%. The company is now debt-free, generating positive free cash flow and adjusted EBITDA, with organic growth expected to normalize at 4-6%. Despite operational improvements, current valuation (44x 2025-26 P/E) and restructuring risks keep the stock unattractive for new investment at current levels. Read the full article on Seeking Alpha
Narrative Update May 02

HNST: Consistent Execution And Buybacks Will Shape Future Margin And Rating Outlook

Honest Company's analyst price target has moved to $3.50, with the reduction from prior $4 to $6 levels reflecting Q4 results that came in slightly below Street expectations but within guidance, and a shared view among analysts that the stock may require several quarters of consistent execution before any meaningful re rating. Analyst Commentary Analysts have reduced their price targets on Honest Company following the Q4 update, but many still maintain positive ratings while flagging the need for proof of consistent execution before any valuation improvement.

Recent updates

Seeking Alpha May 07

The Honest Company: 3 Year Update With A 'Hold' But Increased Price Target

Summary The Honest Company remains rated 'Hold' with a new $2.21/share price target, reflecting improved fundamentals but insufficient risk-adjusted upside. HNST has transitioned from digital to retail channels, exited low-margin categories, and achieved significant gross margin expansion to 43.5%. The company is now debt-free, generating positive free cash flow and adjusted EBITDA, with organic growth expected to normalize at 4-6%. Despite operational improvements, current valuation (44x 2025-26 P/E) and restructuring risks keep the stock unattractive for new investment at current levels. Read the full article on Seeking Alpha
Narrative Update May 02

HNST: Consistent Execution And Buybacks Will Shape Future Margin And Rating Outlook

Honest Company's analyst price target has moved to $3.50, with the reduction from prior $4 to $6 levels reflecting Q4 results that came in slightly below Street expectations but within guidance, and a shared view among analysts that the stock may require several quarters of consistent execution before any meaningful re rating. Analyst Commentary Analysts have reduced their price targets on Honest Company following the Q4 update, but many still maintain positive ratings while flagging the need for proof of consistent execution before any valuation improvement.
Narrative Update Apr 18

HNST: Consistent Execution Over Coming Quarters Will Drive Re Rating Potential

Narrative Update on Honest Company Analysts have trimmed the blended price target for Honest Company from about $5.95 to roughly $4.91 as they factor in lower revenue growth assumptions, a more modest future P/E of around 34 versus above 100, and the view that the company needs several quarters of consistent execution after Q4 results that were slightly shy of Street expectations but within guidance. Analyst Commentary Recent Street commentary on Honest Company centers on recalibrated price targets that reflect more measured expectations around execution, while still signaling constructive sentiment on the long-term opportunity.
Narrative Update Apr 03

HNST: Consistent Execution And Buybacks Will Support Future Margin Upside

Analysts trimmed their price target on Honest Company to $3.50, down from prior targets of $4 to $6. They cited Q4 results that came in slightly below Street expectations but within guidance, and a view that the company must show several quarters of consistent execution before shares can re-rate.
Narrative Update Mar 19

HNST: Consistent Execution And Buyback Program Will Shape Transformation 2.0 Outlook

Analysts have trimmed Honest Company's average price target by about $1 to align with revised firm targets of $5 and $3.50, citing slightly soft Q4 results, the need for several quarters of consistent execution, and a longer timeline before the business outlook becomes clearer. Analyst Commentary Bearish analysts are resetting expectations on Honest Company, trimming price targets and flagging a longer wait before the story becomes clearer.
Narrative Update Mar 05

HNST: Consistent Execution And Buyback Program Will Support Future Margin Improvement

Narrative Update The updated analyst price target for Honest Company has shifted to $3.50, reflecting lowered Street targets after Q4 results that were slightly below prior expectations but still within guidance. Analysts are emphasizing the need for several quarters of steadier execution and clearer long term visibility before they expect shares to re-rate meaningfully.
Narrative Update Feb 19

HNST: Refined Discount Rate And Higher Future P/E Will Support Upside Potential

Analysts have modestly raised their $ fair value estimate for Honest Company, citing updated assumptions for revenue growth, profit margins, discount rate, and a higher future P/E, even as recent research includes a downgrade that reflects a more cautious stance on execution and profitability. Analyst Commentary JPMorgan's recent downgrade highlights some concern around Honest Company's execution and path to sustained profitability.
Narrative Update Feb 05

HNST: Transformation 2.0 Execution Will Support Future Margin Improvement

Analysts have trimmed their price target for The Honest Company to $3 from $4.25, citing weaker than expected Q3 results, reduced full year guidance, and limited visibility around the recently announced Transformation 2.0 plan. Analyst Commentary Bullish Takeaways Bullish analysts see the reset to a US$3 price target as aligning expectations more closely with current execution, which can reduce the risk of sharp valuation surprises if results continue to track recent trends.
Narrative Update Jan 21

HNST: Transformation 2.0 Progress Will Drive Upside Despite Recent Downgrades

Narrative Update Analysts have trimmed their 12 month price target on Honest Company to about $3.00 from roughly $4.25, citing weaker than expected Q3 results, reduced full year guidance, and limited visibility as the company works through its Transformation 2.0 plan. Analyst Commentary Recent Street research highlights a more cautious tone around Honest Company, with bearish analysts focusing on execution risks around Transformation 2.0 and what they describe as limited visibility into the next few quarters.
Narrative Update Jan 07

HNST: Transformation 2.0 Execution Will Determine Upside From Depressed Expectations

Analysts have trimmed Honest Company's price target to US$3.00 from US$4.25, citing weaker than expected Q3 results, reduced full year guidance, and low visibility around the newly announced Transformation 2.0 plan. Analyst Commentary Bearish analysts have responded to Honest Company's recent update by trimming price targets and stressing that weak Q3 results and lower full year guidance add uncertainty to the story.
Narrative Update Dec 22

HNST: Transformation 2.0 Progress Will Drive Future Margin Expansion And Share Upside

Analysts have lowered their price target on Honest Company from approximately $4.25 to $3.00, citing weaker than expected Q3 results, reduced full year guidance, and ongoing uncertainty around the company’s Transformation 2.0 initiatives. Analyst Commentary Bullish analysts acknowledge the near term challenges facing Honest Company but continue to see a path for the shares to perform in line with the broader market.
Narrative Update Dec 08

HNST: Transformation 2.0 Will Improve Margins Despite Lowered Guidance

The analyst price target for Honest Company has been reduced from $4.25 to $3.00 per share, as analysts cite weaker than expected Q3 results, lowered full year guidance, and uncertainty surrounding the company’s Transformation 2.0 initiative. Analyst Commentary Analysts remain cautious on Honest Company following the latest quarter, highlighting a mix of execution challenges and potential upside if the Transformation 2.0 initiative delivers on its objectives.
Narrative Update Nov 24

HNST: Transformation 2.0 Will Drive Recovery Despite Lowered Guidance

Analysts have reduced their price target for Honest Company, lowering it from $4.25 to $3 per share. They cite weaker than anticipated third-quarter performance and ongoing uncertainty in the company's outlook.
Analysis Article Nov 12

Honest Company's (NASDAQ:HNST) Promising Earnings May Rest On Soft Foundations

Last week's profit announcement from The Honest Company, Inc. ( NASDAQ:HNST ) was underwhelming for investors, despite...
Analysis Article Nov 08

Results: The Honest Company, Inc. Exceeded Expectations And The Consensus Has Updated Its Estimates

One of the biggest stories of last week was how The Honest Company, Inc. ( NASDAQ:HNST ) shares plunged 22% in the week...
Narrative Update Nov 07

HNST: Earnings Outperformance Will Support Turnaround Momentum Despite Slower Revenue

Narrative Update on Honest Company Analysts have lowered their price target for Honest Company from $5.50 to $4.25 per share. This change reflects expectations for slower growth rates and a slightly reduced valuation multiple, even though recent earnings exceeded consensus.
Analysis Article Jul 12

Why We're Not Concerned About The Honest Company, Inc.'s (NASDAQ:HNST) Share Price

There wouldn't be many who think The Honest Company, Inc.'s ( NASDAQ:HNST ) price-to-sales (or "P/S") ratio of 1.3x is...
Analysis Article Jun 18

We Think Honest Company (NASDAQ:HNST) Can Easily Afford To Drive Business Growth

There's no doubt that money can be made by owning shares of unprofitable businesses. For example, although Amazon.com...
User avatar
New Narrative Apr 23

Enhanced Product Availability And Digital Distribution Will Drive Success

Strategic shifts towards digital distribution and efficient operations aim to enhance net margins and profitability.
Analysis Article Apr 07

The Honest Company, Inc. (NASDAQ:HNST) Not Flying Under The Radar

There wouldn't be many who think The Honest Company, Inc.'s ( NASDAQ:HNST ) price-to-sales (or "P/S") ratio of 1.2x is...
Seeking Alpha Mar 27

The Honest Company: The Story Still Needs To Get Better

Summary With grand plans for market leadership likely off the table, the path to upside for The Honest Company probably centers on a sale. A major like Kimberly-Clark or P&G could easily improve margins and distribution; the math for a buyout at $8 per share or more can work. But a seemingly strong turnaround over the past two years has been aided by one-time moves and a key accounting change. HNST can still drive upside, but a lower price and/or execution is needed to make the story more attractive. Read the full article on Seeking Alpha
Seeking Alpha Feb 15

The Honest Company Is Overvalued But A Long-Term Buy

Summary The Honest Company is a buy opportunity due to revenue growth, stock momentum, and a focused management team. The company is a niche player among peers but is growing, and the share price is up significantly over the past year, signifying strong momentum. Risks include dependency on goods made in China, insider selling, legal challenges, and mixed profitability metrics. Hedge funds increased holdings recently. Honest Company has a solid foundation with no significant debt, strong digital marketing, and consumer-friendly policies, making it a potential buying opportunity on dips in the share price. Read the full article on Seeking Alpha
Seeking Alpha Dec 09

The Honest Company: The Recent Surge May Not Be Justified

Summary The Honest Company, founded by Jessica Alba, has seen a 207% stock increase in six months despite past scandals affecting its reputation and fundamentals. The company targets a growing market for premium baby care products, but its reputation risks and past controversies pose significant challenges. Financial performance has improved under new management, with positive cash flow and reduced operating losses, but the stock is currently overvalued at $8.33. Despite the potential, I recommend a strong sell due to overvaluation, suggesting a fair price of $5 per share for a reasonable investment. Read the full article on Seeking Alpha
Analysis Article Nov 15

US$6.86 - That's What Analysts Think The Honest Company, Inc. (NASDAQ:HNST) Is Worth After These Results

Shareholders will be ecstatic, with their stake up 54% over the past week following The Honest Company, Inc. 's...
Analysis Article Nov 12

The Honest Company, Inc.'s (NASDAQ:HNST) 36% Jump Shows Its Popularity With Investors

The Honest Company, Inc. ( NASDAQ:HNST ) shareholders would be excited to see that the share price has had a great...
Seeking Alpha Sep 30

The Honest Company Approaches Profitability But Faces Big Competition

Summary The Honest Company focuses on clean, sustainably designed products and is growing in diapers, personal care, and household sectors. Financially stable with a current ratio over 3 and positive operating cash flow since 2023, positioning well for future profitability. Competition is intense, but HNST's cost-reduction strategy is improving margins, with profitability expected by 2026. Stock is a hold; keep an eye on gross margins for continued cost reductions and potential future profitability. Read the full article on Seeking Alpha
Analysis Article Aug 31

After Leaping 25% The Honest Company, Inc. (NASDAQ:HNST) Shares Are Not Flying Under The Radar

Despite an already strong run, The Honest Company, Inc. ( NASDAQ:HNST ) shares have been powering on, with a gain of...
Analysis Article Aug 11

The Honest Company, Inc. (NASDAQ:HNST) Analysts Are Pretty Bullish On The Stock After Recent Results

The Honest Company, Inc. ( NASDAQ:HNST ) just released its latest quarterly results and things are looking bullish. It...
Seeking Alpha Aug 05

The Honest Company: Looking For A Profitability Beat In Q2

Summary The Honest Company, Inc. is soon reporting its Q2 results, likely showing moderate, expected growth. Recent margin improvements could drive an EPS beat, as great gross margin expansion isn't factored into the Wall Street consensus with The Honest Company's conservative guidance range. The Honest Company stock's valuation remains fairly balanced ahead of earnings. Read the full article on Seeking Alpha
Analysis Article Jul 14

Investors Still Aren't Entirely Convinced By The Honest Company, Inc.'s (NASDAQ:HNST) Revenues Despite 28% Price Jump

The Honest Company, Inc. ( NASDAQ:HNST ) shareholders would be excited to see that the share price has had a great...
Seeking Alpha Jul 01

The Honest Company: Exciting Margin Improvement But Risky

Summary The Honest Company has seen major margin improvements in the last quarter and it is slowly reaching profitability. It produces organic and natural products that have seen a spike in interest during and after the COVID-19 pandemic. It has to compete in a difficult market and the stock is overvalued according to the DCF model. I rate it a "Hold". Read the full article on Seeking Alpha

Shareholder Returns

HNSTUS Personal ProductsUS Market
7D-2.3%-0.3%2.6%
1Y-34.3%-18.4%26.2%

Return vs Industry: HNST underperformed the US Personal Products industry which returned -18.4% over the past year.

Return vs Market: HNST underperformed the US Market which returned 26.2% over the past year.

Price Volatility

Is HNST's price volatile compared to industry and market?
HNST volatility
HNST Average Weekly Movement9.9%
Personal Products Industry Average Movement9.0%
Market Average Movement7.2%
10% most volatile stocks in US Market16.1%
10% least volatile stocks in US Market3.2%

Stable Share Price: HNST has not had significant price volatility in the past 3 months compared to the US market.

Volatility Over Time: HNST's weekly volatility (10%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
2011174Carla Vernonwww.honest.com

The Honest Company, Inc. a personal care company, provides personal care products for babies and adults. It offers wipes, personal care, diapers, and beauty products. In addition, it sells its products through retailers and websites, and third-party ecommerce sites.

The Honest Company, Inc. Fundamentals Summary

How do Honest Company's earnings and revenue compare to its market cap?
HNST fundamental statistics
Market capUS$362.16m
Earnings (TTM)-US$18.98m
Revenue (TTM)US$352.17m
1.1x
P/S Ratio
-19.5x
P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report (TTM)
HNST income statement (TTM)
RevenueUS$352.17m
Cost of RevenueUS$212.29m
Gross ProfitUS$139.88m
Other ExpensesUS$158.86m
Earnings-US$18.98m

Last Reported Earnings

Mar 31, 2026

Next Earnings Date

n/a

Earnings per share (EPS)-0.17
Gross Margin39.72%
Net Profit Margin-5.39%
Debt/Equity Ratio0%

How did HNST perform over the long term?

See historical performance and comparison

Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2026/05/12 22:37
End of Day Share Price 2026/05/12 00:00
Earnings2026/03/31
Annual Earnings2025/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

The Honest Company, Inc. is covered by 12 analysts. 7 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Aaron GreyAlliance Global Partners
Bryan SpillaneBofA Global Research
Anna GlaessgenB. Riley Securities, Inc.