Elf Beauty price target raised to $105 from $70 at Morgan Stanley

Morgan Stanley raised the firm’s price target on Elf Beauty (ELF) to $105 from $70 and keeps an Equal Weight rating on the shares. The firm highlights “three key points” in Elf’s Q4 results and commentary that it views as “a clear significant positive in aggregate.” Namely, Elf announced the acquisition of founder Hailey Bieber’s rhode skincare brand, quantified tariff/pricing impacts that on net was “better-than-expected in our minds,” and announced slightly better-than-expected Q4 results, the analyst tells investors. News flow was “clearly favorable” last night, but the firm remains Equal Weighted on the stock given recent base business volatility and what it sees as limited long-term visibility on the “sustainability of a celebrity-backed brand.”