Back to top

Image: Bigstock

e.l.f. Beauty (ELF) Stock Declines While Market Improves: Some Information for Investors

Read MoreHide Full Article

e.l.f. Beauty (ELF - Free Report) closed the most recent trading day at $112.94, moving -1.14% from the previous trading session. The stock's change was less than the S&P 500's daily gain of 0.7%. Meanwhile, the Dow gained 0.28%, and the Nasdaq, a tech-heavy index, added 0.83%.

Heading into today, shares of the cosmetics company had gained 14.8% over the past month, outpacing the Consumer Staples sector's gain of 6.6% and the S&P 500's loss of 1.21%.

The investment community will be paying close attention to the earnings performance of e.l.f. Beauty in its upcoming release. The company is slated to reveal its earnings on November 4, 2026. In that report, analysts expect e.l.f. Beauty to post earnings of $0.61 per share. This would mark a year-over-year decline of 10.29%. Alongside, our most recent consensus estimate is anticipating revenue of $470.56 million, indicating a 36.81% upward movement from the same quarter last year.

In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $3.67 per share and a revenue of $1.97 billion, indicating changes of +17.25% and +20.48%, respectively, from the former year.

Additionally, investors should keep an eye on any recent revisions to analyst forecasts for e.l.f Beauty. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.87% higher. Right now, e.l.f. Beauty possesses a Zacks Rank of #1 (Strong Buy).

Investors should also note e.l.f. Beauty's current valuation metrics, including its Forward P/E ratio of 31.16. This indicates a premium in contrast to its industry's Forward P/E of 29.07.

Meanwhile, ELF's PEG ratio is currently 2.2. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Cosmetics industry had an average PEG ratio of 1.09 as trading concluded yesterday.

The Cosmetics industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 21, which puts it in the top 9% of all 250+ industries.

The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.

Published in