e.l.f. Beauty (NYSE:ELF) Hits New 1-Year Low - Time to Sell?

Key Points

• e.l.f. Beauty shares hit a new 52-week low, trading as low as $48.97 and falling about 4.2% on the day, well below its 50-day and 200-day moving averages.
• Despite the stock weakness, the company recently beat earnings and revenue expectations for the quarter, reporting $0.32 EPS on $449.29 million in revenue, with sales up 35.1% year over year.
• Sentiment is mixed: analysts currently rate the stock Moderate Buy overall with an average price target of $82.75, though one recent downgrade and several lowered targets have added pressure.

e.l.f. Beauty (NYSE:ELF - Get Free Report)'s share price reached a new 52-week low on Friday . The stock traded as low as $48.97 and last traded at $49.35, with a volume of 2290578 shares changing hands. The stock had previously closed at $51.44.

Analyst Upgrades and Downgrades

ELF has been the subject of several research reports. Weiss Ratings downgraded e.l.f. Beauty from a "hold (c-)" rating to a "sell (d+)" rating in a report on Friday, May 22nd. Raymond James Financial reissued a "strong-buy" rating and issued a $85.00 target price on shares of e.l.f. Beauty in a report on Thursday, May 21st. Deutsche Bank Aktiengesellschaft set a $65.00 target price on e.l.f. Beauty in a report on Thursday, May 14th. Bank of America reduced their price objective on e.l.f. Beauty from $93.00 to $85.00 and set a "buy" rating for the company in a research note on Thursday, May 21st. Finally, Robert W. Baird reduced their price objective on e.l.f. Beauty from $115.00 to $90.00 and set an "outperform" rating for the company in a research note on Tuesday, April 28th. One equities research analyst has rated the stock with a Strong Buy rating, ten have given a Buy rating, six have assigned a Hold rating and one has assigned a Sell rating to the company's stock. According to MarketBeat, the stock presently has an average rating of "Moderate Buy" and an average price target of $82.75.

e.l.f. Beauty Trading Down 4.2%

The company has a 50 day simple moving average of $60.27 and a 200 day simple moving average of $73.49. The company has a current ratio of 2.35, a quick ratio of 1.69 and a debt-to-equity ratio of 0.72. The stock has a market capitalization of $2.93 billion, a PE ratio of 107.13, a P/E/G ratio of 2.12 and a beta of 1.63.

e.l.f. Beauty (NYSE:ELF - Get Free Report) last posted its quarterly earnings data on Wednesday, May 20th. The company reported $0.32 EPS for the quarter, beating the consensus estimate of $0.29 by $0.03. e.l.f. Beauty had a return on equity of 11.02% and a net margin of 1.61%.The firm had revenue of $449.29 million during the quarter, compared to the consensus estimate of $423.06 million. During the same period in the prior year, the business earned $0.78 EPS. The firm's revenue was up 35.1% compared to the same quarter last year. e.l.f. Beauty has set its FY 2027 guidance at 3.270-3.320 EPS. Analysts predict that e.l.f. Beauty will post 2.44 earnings per share for the current fiscal year.

Insider Activity at e.l.f. Beauty

In related news, insider Kory Marchisotto sold 23,796 shares of the company's stock in a transaction that occurred on Monday, April 27th. The stock was sold at an average price of $63.66, for a total value of $1,514,853.36. Following the sale, the insider owned 152,417 shares in the company, valued at $9,702,866.22. This represents a 13.50% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, insider Scott Milsten sold 23,797 shares of the company's stock in a transaction that occurred on Monday, April 27th. The stock was sold at an average price of $63.66, for a total value of $1,514,917.02. Following the completion of the sale, the insider owned 114,940 shares in the company, valued at approximately $7,317,080.40. This represents a 17.15% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 210,013 shares of company stock worth $13,315,490 in the last three months. 3.90% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On e.l.f. Beauty

Institutional investors and hedge funds have recently modified their holdings of the company. State of Wyoming lifted its position in e.l.f. Beauty by 7.1% during the 3rd quarter. State of Wyoming now owns 1,595 shares of the company's stock worth $211,000 after acquiring an additional 106 shares during the last quarter. Northwestern Mutual Wealth Management Co. lifted its position in e.l.f. Beauty by 58.5% during the 2nd quarter. Northwestern Mutual Wealth Management Co. now owns 317 shares of the company's stock worth $39,000 after acquiring an additional 117 shares during the last quarter. EverSource Wealth Advisors LLC raised its position in shares of e.l.f. Beauty by 97.0% during the second quarter. EverSource Wealth Advisors LLC now owns 260 shares of the company's stock valued at $32,000 after buying an additional 128 shares during the last quarter. Horizon Investments LLC raised its position in shares of e.l.f. Beauty by 13.4% during the fourth quarter. Horizon Investments LLC now owns 1,089 shares of the company's stock valued at $83,000 after buying an additional 129 shares during the last quarter. Finally, Public Employees Retirement System of Ohio raised its position in shares of e.l.f. Beauty by 0.8% during the third quarter. Public Employees Retirement System of Ohio now owns 17,246 shares of the company's stock valued at $2,285,000 after buying an additional 144 shares during the last quarter. Institutional investors and hedge funds own 92.44% of the company's stock.

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.

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