Elf Beauty price target lowered to $130 from $160 at BofA

BofA lowered the firm’s price target on Elf Beauty (ELF) to $130 from $160 and keeps a Buy rating on the shares. Q2 net sales came in weaker than expected due to shipments lagging consumption, primarily driven by a temporary stop of shipments to retailers that were slower to implement price increases, and lower international growth, the analyst tells investors. Despite “noise” in fiscal Q2 and weaker than expected guidance on a total company basis, the firm sees “a compelling setup” with potentially conservative guidance on Rhode and expectations for execution to improve into FY27.