e.l.f. Beauty (NYSE:ELF) Announces Earnings Results

e.l.f. Beauty (NYSE:ELF) posted its quarterly earnings results on Wednesday. The company reported $1.24 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.72 by $0.52, Briefing.com reports. The business had revenue of $489.51 million during the quarter, compared to analysts’ expectations of $461.78 million. e.l.f. Beauty had a net margin of 6.84% and a return on equity of 16.17%. The business’s quarterly revenue was up 37.8% on a year-over-year basis. During the same quarter last year, the company posted $0.74 earnings per share. e.l.f. Beauty updated its FY 2026 guidance to 3.050-3.100 EPS.

Here are the key takeaways from e.l.f. Beauty’s conference call:

• Q3 results and upgraded guidance: Net sales grew 38% and adjusted EBITDA grew 79% in Q3, management raised FY26 net sales guidance to ~22%–23% and now expects Rhode to contribute ~$260M–$265M for the year.
• Weak organic growth outside of Rhode: Excluding Rhode, Q3 net sales rose only ~2% and management expects organic net sales of ~2% for the year, with softness in the U.K. and Germany and unit volumes roughly flat.
• Near-term margin pressure from increased investments: Marketing and SG&A investments (marketing ~27% of net sales in H2, a Super Bowl/streaming commercial, space and team buildouts) drive an implied H2 adjusted EBITDA margin of ~19% (down ~300 bps YoY) despite a stronger full-year EBITDA outlook.
• Strong brand momentum and international runway: e.l.f. Cosmetics consumption grew 8% in the U.S. (e.l.f. Skin +16%), the company continues market-share gains (130 bps in Q3) and is scaling high-growth brands like Rhode with record Sephora launches and further global rollouts planned.
• Healthy balance sheet and capital returns: Cash rose to $197M, the company repurchased ~$50M of stock in the quarter with ~$400M remaining authorization, and net debt is under 2x adjusted EBITDA.

e.l.f. Beauty Price Performance

Shares of e.l.f. Beauty stock traded up $7.20 on Friday, hitting $84.06. The company’s stock had a trading volume of 1,336,401 shares, compared to its average volume of 2,040,208. The company has a market capitalization of $5.01 billion, a price-to-earnings ratio of 47.43, a price-to-earnings-growth ratio of 7.93 and a beta of 1.71. e.l.f. Beauty has a 1 year low of $49.40 and a 1 year high of $150.99. The company has a debt-to-equity ratio of 0.73, a quick ratio of 1.76 and a current ratio of 2.70. The firm has a fifty day moving average price of $82.17 and a 200-day moving average price of $105.44.

Trending Headlines about e.l.f. Beauty

Here are the key news stories impacting e.l.f. Beauty this week:

• Positive Sentiment: Q3 beat and raised FY‑2026 outlook — ELF reported $489.5M revenue (up 37.8% YoY) and $1.24 adj. EPS, and raised FY guidance (EPS 3.05–3.10) well above consensus; this is the primary driver of the rally. Elf Beauty lifts annual forecasts as affordable products drive demand
• Positive Sentiment: Marketing and brand momentum — CFO/management say Super Bowl ad campaigns and broader marketing helped brand awareness jump (10%→40%), expanding customer reach and supporting revenue growth. How e.l.f. Beauty has used Super Bowl ads to rocket from 10% brand awareness to 40%
• Positive Sentiment: Celebrity partnership tailwind — Management highlighted “incredible momentum” since the Hailey Bieber deal, which investors see as supporting future product demand and brand credibility. E.l.f. Beauty CEO talks ‘incredible momentum’ since Hailey Bieber deal
• Positive Sentiment: Analyst target upgrades and institutional buying — Banks (JPMorgan raised to $105/Overweight) and others lifted targets or reiterated constructive views; institutional accumulation noted, giving technical support and upside potential. JPMorgan raises ELF price target
• Neutral Sentiment: MarketBeat / technical view — Analysts note a potential reversal and ~40% upside to consensus targets from recent lows, suggesting room to run but contingent on execution. e.l.f. Beauty Is Looking Good Again: Reversal in Play
• Neutral Sentiment: Valuation/longer‑term thesis — Some writeups (Seeking Alpha) see reasonable valuation with upside, but emphasize execution and durability of growth as key watch points. e.l.f. Beauty: A Reasonable Valuation With Upside Potential
• Negative Sentiment: Some investors viewed the guidance lift as modest vs. expectations — that perception caused an intraday pullback in some sessions despite the beat; watch quarterly cadence and how conservative management proves the raised guide. Elf Beauty shares slip as guidance lift falls short of expectations
• Negative Sentiment: Analyst caution on valuation/growth durability — UBS and others warn valuation is rich and growth sustainability is the main risk; these views could cap upside until consistent execution is proven. e.l.f. Beauty: Strong Q3 and Raised Outlook Tempered by Valuation and Growth Durability Concerns

Analyst Ratings Changes

A number of analysts have commented on the company. Canaccord Genuity Group lowered their price target on e.l.f. Beauty from $165.00 to $136.00 and set a “buy” rating for the company in a research report on Thursday, November 6th. Robert W. Baird set a $115.00 target price on e.l.f. Beauty in a report on Thursday. Jefferies Financial Group began coverage on shares of e.l.f. Beauty in a report on Wednesday, January 14th. They issued a “buy” rating and a $110.00 price target on the stock. The Goldman Sachs Group reduced their price target on shares of e.l.f. Beauty from $155.00 to $135.00 and set a “buy” rating for the company in a research report on Friday, November 7th. Finally, Piper Sandler decreased their price objective on shares of e.l.f. Beauty from $100.00 to $85.00 and set a “neutral” rating for the company in a research note on Monday, December 22nd. One investment analyst has rated the stock with a Strong Buy rating, eleven have assigned a Buy rating and six have given a Hold rating to the company. According to MarketBeat.com, e.l.f. Beauty presently has a consensus rating of “Moderate Buy” and an average price target of $119.75.

Institutional Inflows and Outflows

Several large investors have recently made changes to their positions in ELF. Coldstream Capital Management Inc. raised its position in e.l.f. Beauty by 28.7% during the third quarter. Coldstream Capital Management Inc. now owns 4,581 shares of the company’s stock worth $607,000 after acquiring an additional 1,022 shares during the period. Prosperity Wealth Management Inc. purchased a new stake in shares of e.l.f. Beauty during the third quarter worth about $570,000. Teza Capital Management LLC acquired a new position in shares of e.l.f. Beauty during the 2nd quarter worth about $452,000. Mercer Global Advisors Inc. ADV lifted its stake in e.l.f. Beauty by 5.9% in the 3rd quarter. Mercer Global Advisors Inc. ADV now owns 2,943 shares of the company’s stock valued at $390,000 after buying an additional 165 shares in the last quarter. Finally, Canada Pension Plan Investment Board acquired a new stake in e.l.f. Beauty in the 2nd quarter worth about $274,000. 92.44% of the stock is owned by institutional investors and hedge funds.

About e.l.f. Beauty

e.l.f. Beauty (NYSE: ELF) is an American cosmetics company known for offering an extensive range of affordable, trend-driven makeup and skincare products. The company’s portfolio spans foundations, lipsticks, mascaras, brushes, serums, masks and other beauty essentials, all positioned at accessible price points. e.l.f. Beauty maintains a direct-to-consumer platform through its e-commerce site and engages in widespread retail partnerships with major chains such as Target, Walmart, Ulta Beauty and Amazon.

Founded in 2004 and headquartered in Oakland, California, e.l.f.