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

Key Points

• e.l.f. Beauty reported quarterly EPS of $1.21, topping the roughly $0.60 analyst consensus, while revenue of $520.8 million beat estimates and rose 51.4% year over year.
• Management raised its fiscal 2027 sales growth outlook to 22%–24%; the company also reported 51% net sales growth and 86% adjusted EBITDA growth in Q2.
• Despite strong results, e.l.f. expects second-half adjusted EBITDA margins in the low teens and year-over-year gross margin pressure as it increases marketing investment and expands rhode retail distribution.

e.l.f. Beauty (NYSE:ELF - Get Free Report) posted its earnings results on Wednesday. The company reported $1.21 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.60 by $0.61, FiscalAI reports. The company had revenue of $520.82 million for the quarter, compared to analyst estimates of $473.51 million. e.l.f. Beauty had a return on equity of 14.07% and a net margin of 3.38%. The firm's quarterly revenue was up 51.4% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $0.68 earnings per share.

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

• e.l.f. Beauty reported 51% net sales growth and 86% adjusted EBITDA growth in Q2, its 31st consecutive quarter of sales growth; organic sales rose approximately 35%.
• The company raised its fiscal 2027 outlook, now expecting 22%–24% net sales growth, adjusted EBITDA of $421 million–$427 million, and adjusted EPS of $3.82–$3.86 per diluted share.
• Growth spanned the portfolio and channels: e.l.f. Cosmetics regained unit momentum and market share, while rhode’s Sephora Europe launch set a retailer record. Haircare and international expansion also showed early traction.
• Management expects second-half adjusted EBITDA margins in the low teens as marketing spending shifts later and tariff refunds are reinvested; it also expects gross margin to be lower year over year in the second half as rhode expands in retail.

e.l.f. Beauty Price Performance

NYSE ELF traded up $2.47 during trading hours on Wednesday, reaching $113.97. The company's stock had a trading volume of 2,379,928 shares, compared to its average volume of 1,223,719. The firm has a market capitalization of $6.73 billion, a price-to-earnings ratio of 41.30, a P/E/G ratio of 2.93 and a beta of 1.61. The company's 50-day moving average is $106.01 and its two-hundred day moving average is $81.94. The company has a debt-to-equity ratio of 0.69, a current ratio of 2.55 and a quick ratio of 1.82. e.l.f. Beauty has a 1-year low of $48.82 and a 1-year high of $122.36.

Wall Street Analysts Forecast Growth

A number of analysts have recently weighed in on the stock. B. Riley Financial restated a "buy" rating and issued a $115.00 price target (up from $100.00) on shares of e.l.f. Beauty in a report on Wednesday, September 16th. Jefferies Financial Group increased their target price on shares of e.l.f. Beauty from $100.00 to $132.00 and gave the company a "buy" rating in a research report on Monday, October 19th. Weiss Ratings reissued a "sell (d+)" rating on shares of e.l.f. Beauty in a research report on Wednesday, October 28th. Wall Street Zen raised e.l.f. Beauty from a "hold" rating to a "buy" rating in a research report on Saturday. Finally, Sanford C. Bernstein boosted their target price on e.l.f. Beauty from $121.00 to $127.00 and gave the stock an "outperform" rating in a research note on Thursday, September 17th. Three research analysts have rated the stock with a Strong Buy rating, nine have given a Buy rating, five have given a Hold rating and one has given a Sell rating to the company's stock. According to data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and an average target price of $112.06.

Insider Activity at e.l.f. Beauty

In related news, Director Lauren Levitan sold 1,034 shares of the business's stock in a transaction that occurred on Tuesday, August 18th. The stock was sold at an average price of $93.15, for a total transaction of $96,317.10. Following the completion of the sale, the director directly owned 10,516 shares in the company, valued at approximately $979,565.40. The trade was a 8.95% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Mandy Fields sold 16,065 shares of the company's stock in a transaction on Tuesday, September 8th. The stock was sold at an average price of $104.52, for a total transaction of $1,679,113.80. Following the sale, the insider directly owned 90,896 shares of the company's stock, valued at $9,500,449.92. The trade was a 15.02% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 91,821 shares of company stock worth $9,624,513 over the last 90 days. 3.50% of the stock is owned by insiders.

Key e.l.f. Beauty News

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

• Positive Sentiment: Adjusted earnings were $1.21 per share, well above consensus estimates of about $0.60–$0.62 and up from $0.68 a year earlier. e.l.f. Beauty Tops Q2 Earnings and Revenue Estimates
• Positive Sentiment: Revenue reached $520.8 million, beating analyst expectations of roughly $473.5 million and climbing 51.4% year over year. CEO Tarang Amin cited growth across the company’s portfolio and said this marked its 31st consecutive quarter of sales growth. E.l.f. Beauty posts 51% sales increase, raises full-year guidance
• Positive Sentiment: Management raised its full-year net sales growth guidance to 22%–24%, signaling confidence in continued momentum. The earnings beat and higher outlook are the main positive catalysts for ELF shares. e.l.f. Beauty Announces Second Quarter Fiscal 2027 Results

About e.l.f. Beauty

e.l.f. Beauty, Inc is a cosmetics and skincare company that develops, markets and sells beauty products under a portfolio of brands. Its offerings include makeup, skin care, hair care and other personal-care products designed to provide accessible, trend-focused beauty options across a range of categories.

The company's portfolio includes e.l.f. Cosmetics, Well People, Keys Soulcare and Naturium. Its products are sold through mass retailers, specialty beauty stores, e-commerce platforms and the brands' direct-to-consumer websites.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.