e.l.f. Beauty (ELF)
NYSE:ELF
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e.l.f. Beauty
(NYSE:ELF)
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Rating:64Neutral
Price Target:
$65.00
▲(6.28% Upside)
Action:ReiteratedDate:02/14/26
The score is driven primarily by strong underlying growth and cash generation, reinforced by raised guidance and continued market-share momentum. It is held back by increased leverage and margin compression, and further pressured by weak technicals (stock below major moving averages with negative momentum) alongside a demanding valuation (P/E ~42).
Positive Factors
Sustained revenue growth and strong FCF
Multi-year revenue expansion (to TTM $1.52B) combined with rapidly improving free cash flow (TTM FCF $214.5M, +51% YoY) indicates durable demand, scalable economics and internal funding for investment or deleveraging, supporting execution over the next 2–6 months.
Negative Factors
Material increase in leverage
Debt surged materially as the company financed acquisitions/expansion, reducing balance-sheet flexibility. Higher leverage increases interest and refinancing risk and constrains capital allocation choices if operating results or cash conversion underperform over the next several quarters.
Read all positive and negative factors
Positive Factors
Negative Factors
Sustained revenue growth and strong FCF
Multi-year revenue expansion (to TTM $1.52B) combined with rapidly improving free cash flow (TTM FCF $214.5M, +51% YoY) indicates durable demand, scalable economics and internal funding for investment or deleveraging, supporting execution over the next 2–6 months.
Read all positive factors
e.l.f. Beauty (ELF) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$3.61B
Dividend YieldN/A
Average Volume (3M)2.30M
Price to Earnings (P/E)28.6
Beta (1Y)2.06
Revenue Growth13.80%
EPS Growth-25.02%
CountryUS
Employees633
SectorConsumer Defensive
Sector Strength42
IndustryHousehold & Personal Products
Share Statistics
EPS (TTM)1.24
Shares Outstanding59,052,240
10 Day Avg. Volume2,659,195
30 Day Avg. Volume2,302,324
Financial Highlights & Ratios
PEG Ratio-2.16
Price to Book (P/B)4.64
Price to Sales (P/S)2.69
P/FCF Ratio30.61
Enterprise Value/Market Cap1.21
Enterprise Value/Revenue2.88
Enterprise Value/Gross Profit4.10
Enterprise Value/Ebitda18.15
Forecast
1Y Price Target
$107.00Price Target Upside74.95% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering16
EPS Forecast (FY)3.66
Revenue Forecast (FY)$1.89B
e.l.f. Beauty Business Overview & Revenue Model
Company Description
e.l.f. Beauty, Inc., together with its subsidiaries, provides cosmetic and skin care products under the e.l.f. Cosmetics, e.l.f. Skin, Well People, and Keys Soulcare brand names worldwide. The company offers eye, lip, face, face, paw, and skin car...
How the Company Makes Money
e.l.f. Beauty makes money primarily by selling beauty products (cosmetics and skincare) across two main channel types: (1) retail/wholesale distribution and (2) direct-to-consumer (DTC) e-commerce. In retail/wholesale, the company generates revenu...
e.l.f. Beauty Key Performance Indicators (KPIs)
Any
Revenue by Geography
Breaks down revenue across different regions, revealing where the company is strongest and where it may face risk or growth potential due to local economic conditions or market share shifts.
Breaks down revenue across different regions, revealing where the company is strongest and where it may face risk or growth potential due to local economic conditions or market share shifts.
Data provided by:
The Fly
The Flye.l.f. Beauty Earnings Call Summary
Earnings Call Date:Feb 04, 2026
(Q3-2026)
| % Change Since: |
Next Earnings Date:May 27, 2026
Earnings Call Sentiment Positive
The call conveyed strong financial and operational momentum driven by outsized Q3 growth (38% net sales) and a 79% increase in adjusted EBITDA, supported by successful brand launches (notably Rhode) and improved cash and buyback activity. Management raised full-year guidance and highlighted sustained market share gains, product innovation wins, and international expansion. Offsetting risks include weaker organic growth excluding Rhode (~2%), regional softness in the U.K. and timing-related shipment headwinds, plus near-term margin pressure from elevated marketing and investment spend. On balance, the company expanded revenue, profitability, cash flow, and strategic footprint while acknowledging manageable short-term challenges.Positive Updates
Strong Top-Line Growth
Q3 net sales grew 38% year-over-year, marking the company's 28th consecutive quarter of net sales growth and placing e.l.f. Beauty among a small group of high-growth public consumer companies.
Negative Updates
Organic Sales Softness
Excluding Rhode, Q3 net sales were up only ~2% year-over-year, below management expectations; updated full-year organic net sales outlook is also ~2% excluding Rhode.
Read all updates
Q3-2026 Updates
Positive
Negative
Strong Top-Line Growth
Q3 net sales grew 38% year-over-year, marking the company's 28th consecutive quarter of net sales growth and placing e.l.f. Beauty among a small group of high-growth public consumer companies.
Read all positive updates
Company Guidance
e.l.f. raised its fiscal 2026 outlook, now expecting net sales growth of ~22–23% (up from 18–20%), with Rhode contributing ~$260–265M to FY26 net sales versus $200M previously and projected to grow ~70% YoY on an annualized basis; second‑half guidance implies 31–33% net sales growth and organic (ex‑Rhode) net sales of ~+2%. Management is modeling ~6% global consumption growth partially offset by a 4‑point pipeline headwind (shipments below consumption). Adjusted EBITDA guidance was raised to $323–326M (prior $302–306M), implying ~9–10% EBITDA growth and ~20% full‑year adjusted EBITDA margin (H2 ~19%, down ~300 bps YoY). Marketing is expected to be ~27% of sales in H2 (full‑year target 24–26%); Q3 cash was $197M, the company repurchased ~$50M in the quarter with ~$400M remaining authorization, and net debt is <2x adjusted EBITDA.e.l.f. Beauty Financial Statement Overview
Summary
Income Statement
78
Positive
Balance Sheet
55
Neutral
Cash Flow
72
Positive
| Breakdown | TTM | Mar 2025 | Mar 2024 | Mar 2023 | Mar 2022 | Mar 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 1.52B | 1.31B | 1.02B | 578.84M | 392.15M | 318.11M |
| Gross Profit | 1.07B | 935.69M | 724.10M | 390.40M | 251.73M | 206.20M |
| EBITDA | 241.10M | 206.25M | 182.57M | 85.31M | 54.63M | 32.12M |
| Net Income | 103.94M | 112.09M | 127.66M | 61.53M | 21.77M | 6.23M |
Balance Sheet | ||||||
| Total Assets | 2.32B | 1.25B | 1.13B | 595.60M | 494.63M | 487.39M |
| Cash, Cash Equivalents and Short-Term Investments | 196.82M | 148.69M | 108.18M | 120.78M | 43.35M | 57.77M |
| Total Debt | 926.14M | 313.02M | 290.60M | 82.17M | 117.00M | 150.91M |
| Total Liabilities | 1.16B | 487.32M | 486.68M | 184.58M | 182.20M | 217.75M |
| Stockholders Equity | 1.16B | 760.86M | 642.57M | 411.02M | 312.43M | 269.65M |
Cash Flow | ||||||
| Free Cash Flow | 214.53M | 115.32M | 62.49M | 100.16M | 14.70M | 23.00M |
| Operating Cash Flow | 246.15M | 133.84M | 71.15M | 101.88M | 19.51M | 29.48M |
| Investing Cash Flow | -614.31M | -19.10M | -284.66M | -1.72M | -4.82M | -6.47M |
| Financing Cash Flow | 490.75M | -74.45M | 200.94M | -22.73M | -29.11M | -11.40M |
e.l.f. Beauty Technical Analysis
Negative
61.16
Price Trends
79.50
Negative
79.18
Negative
101.96
Negative
Market Momentum
-5.65
Positive
33.38
Neutral
19.39
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ELF, the sentiment is Negative. The current price of 61.16 is below the 20-day moving average (MA) of 70.55, below the 50-day MA of 79.50, and below the 200-day MA of 101.96, indicating a bearish trend. The MACD of -5.65 indicates Positive momentum. The RSI at 33.38 is Neutral, neither overbought nor oversold. The STOCH value of 19.39 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ELF.
e.l.f. Beauty Risk Analysis
e.l.f. Beauty disclosed 15 risk factors in its most recent earnings report. e.l.f. Beauty reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
e.l.f. Beauty Peers Comparison
UnderperformOutperform
Sector (62)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
73 Outperform | $2.91B | 16.17 | 19.93% | 3.80% | 3.12% | 9.01% | |
64 Neutral | $3.61B | 28.63 | 10.75% | ― | 13.80% | -25.02% | |
62 Neutral | $20.33B | 14.63 | -3.31% | 3.23% | 1.93% | -12.26% | |
52 Neutral | $980.11M | -3.02 | -2.50% | 3.51% | -1.34% | -73.59% | |
50 Neutral | $1.80B | -5.46 | -14.49% | ― | -5.68% | -358.36% | |
47 Neutral | $25.00B | 58.52 | -4.41% | 1.30% | -6.36% | -554.84% | |
45 Neutral | $115.66M | -5.47 | -15.42% | ― | -13.14% | 57.98% |
* Consumer Defensive Sector Average
ELF
e.l.f. Beauty
61.16
7.28
13.51%
EL
The Estée Lauder Companies
69.12
17.00
32.62%
IPAR
Inter Parfums
90.61
-9.40
-9.40%
COTY
Coty
2.05
-2.85
-58.16%
EPC
Edgewell Personal Care
20.98
-6.25
-22.94%
SKIN
Beauty Health
0.91
-0.14
-13.40%
e.l.f. Beauty Corporate Events
Executive/Board Changes
e.l.f. Beauty Adds Veteran Executive Matthew Farrell to Board
Positive
Feb 13, 2026
On February 12, 2026, e.l.f. Beauty, Inc. appointed veteran consumer-products executive Matthew Farrell to its board of directors as a Class I director, with plans for him to stand for election at the company’s 2026 annual meeting of stockho...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.