e.l.f. Beauty (NYSE:ELF) Stock Price Up 9.5% - Here's What Happened

Key Points

• e.l.f. Beauty shares jumped 9.5% on Wednesday, trading as high as $58.52 after closing at $54.13 the prior day, though volume was well below average.
• Several analysts trimmed price targets on the stock, but the consensus view remains Moderate Buy with an average target of $82.75.
• The move came after e.l.f. Beauty beat earnings and revenue estimates in its latest quarter, reporting EPS of $0.32 versus $0.29 expected and revenue up 35.1% year over year.

e.l.f. Beauty (NYSE:ELF - Get Free Report) shares rose 9.5% during trading on Wednesday . The company traded as high as $58.52 and last traded at $59.2830. Approximately 812,620 shares traded hands during trading, a decline of 69% from the average daily volume of 2,591,899 shares. The stock had previously closed at $54.13.

Analysts Set New Price Targets

ELF has been the subject of a number of research analyst reports. Canaccord Genuity Group cut their price objective on shares of e.l.f. Beauty from $100.00 to $90.00 and set a "buy" rating for the company in a research report on Thursday, May 21st. Evercore initiated coverage on shares of e.l.f. Beauty in a research report on Thursday, April 2nd. They set an "inline" rating and a $68.00 price objective for the company. Raymond James Financial reaffirmed a "strong-buy" rating and set a $85.00 price objective on shares of e.l.f. Beauty in a research report on Thursday, May 21st. Bank of America cut their price objective on shares of e.l.f. Beauty from $93.00 to $85.00 and set a "buy" rating for the company in a research report on Thursday, May 21st. Finally, JPMorgan Chase & Co. cut their price objective on shares of e.l.f. Beauty from $85.00 to $80.00 and set an "overweight" rating for the company in a research report on Thursday, May 21st. One investment analyst has rated the stock with a Strong Buy rating, ten have given a Buy rating, six have issued a Hold rating and one has given a Sell rating to the company's stock. According to MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus price target of $82.75.

e.l.f. Beauty Stock Performance

The firm has a market cap of $3.42 billion, a P/E ratio of 125.94, a PEG ratio of 2.14 and a beta of 1.71. The stock's 50 day moving average is $62.77 and its two-hundred day moving average is $74.57. The company has a debt-to-equity ratio of 0.72, a current ratio of 2.35 and a quick ratio of 1.69.

e.l.f. Beauty (NYSE:ELF - Get Free Report) last posted its earnings results on Wednesday, May 20th. The company reported $0.32 earnings per share for the quarter, beating analysts' consensus estimates of $0.29 by $0.03. The business had revenue of $449.29 million for the quarter, compared to analysts' expectations of $423.06 million. e.l.f. Beauty had a net margin of 1.61% and a return on equity of 11.02%. The firm's revenue for the quarter was up 35.1% on a year-over-year basis. During the same quarter in the previous year, the firm posted $0.78 earnings per share. e.l.f. Beauty has set its FY 2027 guidance at 3.270-3.320 EPS. As a group, equities analysts predict that e.l.f. Beauty will post 2.45 EPS for the current year.

Insiders Place Their Bets

In other e.l.f. Beauty news, insider Jennifer Catherine Hartnett sold 20,829 shares of the company's stock in a transaction dated Monday, April 27th. The shares were sold at an average price of $63.66, for a total transaction of $1,325,974.14. Following the sale, the insider directly owned 68,726 shares of the company's stock, valued at approximately $4,375,097.16. This represents a 23.26% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, insider Scott Milsten sold 23,797 shares of the company's stock in a transaction dated Monday, April 27th. The stock was sold at an average price of $63.66, for a total transaction of $1,514,917.02. Following the sale, the insider directly owned 114,940 shares in the company, valued at $7,317,080.40. This represents a 17.15% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold a total of 210,013 shares of company stock valued at $13,315,490 over the last 90 days. Company insiders own 3.90% of the company's stock.

Institutional Trading of e.l.f. Beauty

Several large investors have recently added to or reduced their stakes in ELF. Royal Bank of Canada grew its stake in e.l.f. Beauty by 9.9% during the first quarter. Royal Bank of Canada now owns 153,682 shares of the company's stock worth $9,650,000 after buying an additional 13,851 shares during the last quarter. Integrated Wealth Concepts LLC grew its stake in e.l.f. Beauty by 168.6% during the first quarter. Integrated Wealth Concepts LLC now owns 6,483 shares of the company's stock worth $407,000 after buying an additional 4,069 shares during the last quarter. NewEdge Advisors LLC grew its stake in e.l.f. Beauty by 176.4% during the first quarter. NewEdge Advisors LLC now owns 4,677 shares of the company's stock worth $294,000 after buying an additional 2,985 shares during the last quarter. United Services Automobile Association bought a new stake in e.l.f. Beauty during the first quarter worth about $240,000. Finally, Northwestern Mutual Wealth Management Co. grew its stake in e.l.f. Beauty by 58.5% during the second quarter. Northwestern Mutual Wealth Management Co. now owns 317 shares of the company's stock worth $39,000 after buying an additional 117 shares during the last quarter. 92.44% of the stock is owned by institutional investors.

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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