Olaplex Holdings (OLPX) AI Stock Analysis

• Market Cap: $680.42M
• Dividend Yield: N/A
• Average Volume (3M): 867.64K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.36
• Revenue Growth: -3.43%
• EPS Growth: -102.60%
• Country: US
• Employees: 231
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Specialty Retail
• EPS (TTM): 0.03
• Shares Outstanding: 667,081,100
• 10 Day Avg. Volume: 992,507
• 30 Day Avg. Volume: 867,637
• PEG Ratio: -0.85
• Price to Book (P/B): 1.31
• Price to Sales (P/S): 2.71
• P/FCF Ratio: 8.07
• Enterprise Value/Market Cap: 0.00
• Enterprise Value/Revenue: 0.00
• Enterprise Value/Gross Profit: 0.00
• Enterprise Value/Ebitda: 0.00
• 1Y Price Target: $2.08
• Price Target Upside: 92.59% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 7
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 52 Neutral
• Price Target: $1.00 ▼(-7.41% Downside)

Olaplex Holdings faces significant challenges with profitability and operational efficiency, reflected in a low valuation score. While technical indicators suggest bearish momentum, positive cash flow trends and strategic marketing investments provide some optimism for future growth.

Positive Factors

Innovative Product Launches

The launch of new products, especially in fast-growing niches, can drive revenue growth and strengthen market position, enhancing long-term competitiveness.

Professional Channel Growth

Growth in the professional channel indicates strong demand and brand loyalty among salons, supporting sustained revenue and market leadership.

Strong Direct-to-Consumer Performance

Robust direct-to-consumer sales growth reflects effective marketing and customer engagement, which can lead to higher margins and brand loyalty.

Negative Factors

Decline in Specialty Retail Sales

A decline in specialty retail sales suggests challenges in retail distribution and consumer reach, potentially impacting overall revenue growth.

Lower Adjusted EBITDA Margin

Decreasing EBITDA margins indicate rising costs and operational inefficiencies, which could affect profitability and cash flow if not addressed.

International Sales Decline

A decline in international sales highlights challenges in global market expansion, which could limit growth opportunities and diversification.

Olaplex Holdings Business Overview & Revenue Model

Company Description

Olaplex Holdings, Inc. is a beauty and personal care company renowned for its innovative hair care products that focus on repairing and strengthening damaged hair. Founded in 2014, Olaplex operates primarily in the professional hair care sector, catering to both salons and consumers. Its flagship product line includes the patented Olaplex Bond Building Technology, which is designed to restore the internal strength and integrity of hair, making it a favorite among hairstylists and consumers alike. The company has expanded its offerings to include a variety of shampoos, conditioners, and styling treatments, solidifying its position as a leader in the hair care industry.

How the Company Makes Money

Olaplex generates revenue primarily through the sale of its hair care products, which are distributed through professional salons and retail channels. The company operates a dual revenue model: direct sales to professional hair salons and sales through retail partners, including e-commerce platforms. Key revenue streams include sales of its core products, particularly the Olaplex No. 1 through No. 8 line, which has gained significant traction in both the professional and consumer markets. Additionally, Olaplex collaborates with salons to provide training and support for stylists, enhancing the brand's presence and driving product adoption. The company also benefits from a strong brand reputation and customer loyalty, which contribute to repeat purchases and sustained sales growth.

Olaplex Holdings Financial Statement Overview

Summary

Olaplex Holdings shows strong gross margins and improved leverage, but faces profitability challenges with negative net profit margins and declining operational efficiency. Positive cash flow trends offer some optimism.

Income Statement

Olaplex Holdings has shown a mixed performance in its income statement. The TTM data indicates a slight revenue growth of 0.56%, but the company is currently experiencing a negative net profit margin of -0.30%, indicating a loss. The gross profit margin remains strong at 68.90%, suggesting efficient production processes. However, the declining EBIT and EBITDA margins over the years highlight challenges in operational efficiency and cost management.

Balance Sheet

The balance sheet shows a moderate financial position with a debt-to-equity ratio of 0.40 in the TTM, indicating a decrease in leverage compared to previous years. However, the return on equity is negative at -0.15%, reflecting the recent net loss. The equity ratio stands at 57.64%, suggesting a stable capital structure with a reasonable proportion of equity financing.

Cash Flow

Cash flow analysis reveals a positive trajectory with a free cash flow growth rate of 5.75% in the TTM. The operating cash flow to net income ratio is 0.84, indicating that the company generates sufficient cash from operations relative to its net income. The free cash flow to net income ratio is nearly 1, suggesting efficient cash conversion from profits.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	418.58M	422.67M	458.30M	704.27M	598.37M	282.25M
Gross Profit	288.96M	292.29M	318.63M	519.55M	481.81M	179.59M
EBITDA	68.70M	143.39M	186.77M	398.96M	385.70M	131.78M
Net Income	-4.95M	19.52M	61.59M	244.07M	220.78M	39.28M
Balance Sheet
Total Assets	1.51B	1.77B	1.74B	1.70B	1.56B	1.33B
Cash, Cash Equivalents and Short-Term Investments	286.38M	585.97M	466.40M	322.81M	186.39M	10.96M
Total Debt	352.10M	650.46M	655.77M	662.77M	758.20M	775.48M
Total Liabilities	625.47M	893.32M	895.37M	916.72M	1.04B	802.16M
Stockholders Equity	888.75M	874.40M	844.97M	780.96M	524.30M	530.67M
Cash Flow
Free Cash Flow	64.80M	141.94M	173.92M	254.67M	198.26M	128.95M
Operating Cash Flow	67.64M	143.07M	177.53M	255.32M	200.03M	128.97M
Investing Cash Flow	-2.85M	-4.89M	-3.61M	-2.68M	-6.26M	-1.38B
Financing Cash Flow	-314.29M	-18.61M	-30.33M	-116.22M	-18.34M	1.26B

Olaplex Holdings Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.08
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For OLPX, the sentiment is Negative. The current price of 1.08 is below the 20-day moving average (MA) of 1.13, below the 50-day MA of 1.28, and below the 200-day MA of 1.36, indicating a bearish trend. The MACD of -0.07 indicates Negative momentum. The RSI at 39.37 is Neutral, neither overbought nor oversold. The STOCH value of 26.27 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for OLPX.

Olaplex Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SBH	73 Outperform	$1.40B	7.78	28.94%	―	-0.38%	35.78%
ULTA	72 Outperform	$23.17B	20.00	48.52%	―	2.94%	4.57%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
BBWI	59 Neutral	$4.88B	7.03	―	3.53%	-0.18%	-18.95%
CHWY	54 Neutral	$14.02B	93.31	34.48%	―	9.04%	-56.79%
ETSY	53 Neutral	$5.75B	42.14	―	―	1.98%	-20.98%
OLPX	52 Neutral	$680.42M	―	-0.15%	―	-3.43%	-102.60%

Olaplex Holdings Corporate Events

Olaplex Holdings Acquires Purvala Bioscience for Innovation

On August 20, 2025, Olaplex Holdings, Inc. acquired Purvala Bioscience, a Boston-based biotech company, for $10.5 million. This acquisition marks OLAPLEX’s first since its inception over a decade ago, underscoring its commitment to innovation in the haircare industry. The integration of Purvala’s bioinspired technologies is expected to enhance OLAPLEX’s product offerings, potentially leading to the development of next-generation, science-backed products. This strategic move is anticipated to strengthen OLAPLEX’s position in the market and benefit its stylist community and consumers.

The most recent analyst rating on (OLPX) stock is a Hold with a $1.50 price target. To see the full list of analyst forecasts on Olaplex Holdings stock, see the OLPX Stock Forecast page.

Olaplex Holdings, Inc. Earnings Call: Balancing Growth and Challenges

Olaplex Holdings, Inc. Navigates Transformation with Balanced Growth and Challenges

Olaplex Reports Mixed Q2 2025 Financial Results

Olaplex Holdings, Inc., a prominent player in the health and beauty sector, is known for its innovative hair care solutions, particularly its Complete Bond Technology™ that enhances hair strength and health. In its latest earnings report for the second quarter of 2025, Olaplex reported a modest increase in net sales by 2.3% to $106.3 million, despite a net loss of $7.7 million compared to a net income of $5.8 million in the same period last year. The company’s performance across different sales channels varied, with professional and direct-to-consumer channels showing growth, while specialty retail saw a decline.