We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
A growth cooldown has heavily impacted ELF shares.
The latest set of results caused a negative post-earnings reaction.
Once a high-flyer, shares are down 36% YTD.
e.l.f. Beauty (ELF - Free Report) is a cosmetic company that provides makeup, lip products, nail products, cosmetics sets/kits, beauty tools, brushes, and other similar accessories.
Analysts have taken a bearish stance concerning the company’s EPS outlook, landing it into an unfavorable Zacks Rank #5 (Strong Sell).
Image Source: Zacks Investment Research
In addition to a cloudy EPS outlook, the stock resides in the Zacks – Cosmetics industry, which is currently ranked in the bottom 11%. Let’s take a closer look at the company.
ELF Shares Face Post-Earnings Pressure
ELF shares have volatile in 2025, down roughly 36% and widely underperforming relative to the S&P 500. Quarterly results haven’t been enough to perk shares up, with a growth cooldown driving the negative sentiment.
The growth cooldown can be seen in the chart below, where the values tracked reflect the YoY % change in sales. Please note that these are not actual sales numbers.
Image Source: Zacks Investment Research
As we can see above, while sales growth has remained broadly strong, the cooldown has been the bigger story here, helping explain the sharp drop in shares. Shares plunged following the latest set of results, erasing all YTD gains.
Image Source: Zacks Investment Research
Bottom Line
Analysts' negative earnings estimate revisions, resulting from a growth cooldown, paint a challenging picture for the company’s shares in the near term.
e.l.f. Beauty (ELF - Free Report) is a Zacks Rank #5 (Strong Sell), indicating that analysts have taken a bearish stance on the company’s earnings outlook.
For those seeking strong stocks, a great idea would be to focus on stocks carrying a Zacks Rank #1 (Strong Buy) or a Zacks Rank #2 (Buy). These stocks sport a notably stronger earnings outlook and the potential to deliver explosive gains in the near term.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Bear of the Day: e.l.f. Beauty
Key Takeaways
e.l.f. Beauty (ELF - Free Report) is a cosmetic company that provides makeup, lip products, nail products, cosmetics sets/kits, beauty tools, brushes, and other similar accessories.
Analysts have taken a bearish stance concerning the company’s EPS outlook, landing it into an unfavorable Zacks Rank #5 (Strong Sell).
Image Source: Zacks Investment Research
In addition to a cloudy EPS outlook, the stock resides in the Zacks – Cosmetics industry, which is currently ranked in the bottom 11%. Let’s take a closer look at the company.
ELF Shares Face Post-Earnings Pressure
ELF shares have volatile in 2025, down roughly 36% and widely underperforming relative to the S&P 500. Quarterly results haven’t been enough to perk shares up, with a growth cooldown driving the negative sentiment.
The growth cooldown can be seen in the chart below, where the values tracked reflect the YoY % change in sales. Please note that these are not actual sales numbers.
Image Source: Zacks Investment Research
As we can see above, while sales growth has remained broadly strong, the cooldown has been the bigger story here, helping explain the sharp drop in shares. Shares plunged following the latest set of results, erasing all YTD gains.
Image Source: Zacks Investment Research
Bottom Line
Analysts' negative earnings estimate revisions, resulting from a growth cooldown, paint a challenging picture for the company’s shares in the near term.
e.l.f. Beauty (ELF - Free Report) is a Zacks Rank #5 (Strong Sell), indicating that analysts have taken a bearish stance on the company’s earnings outlook.
For those seeking strong stocks, a great idea would be to focus on stocks carrying a Zacks Rank #1 (Strong Buy) or a Zacks Rank #2 (Buy). These stocks sport a notably stronger earnings outlook and the potential to deliver explosive gains in the near term.