Olaplex (NASDAQ:OLPX) Downgraded by Zacks Research to "Strong Sell"

Key Points

• Zacks Research downgraded Olaplex to a "strong sell" from "hold," and the stock carries an analyst consensus of "Reduce" with an average price target of $1.92.
• Shares trade near $2.04 with a $1.37B market cap, a negative P/E, and the most recent quarter showed revenue up 4.4% year‑over‑year while EPS of $0.01 met estimates.
• Insiders sold about 215,442 shares (~$271,457) in the past three months, even as institutional investors own roughly 87.37% of the company.

Olaplex (NASDAQ:OLPX - Get Free Report) was downgraded by stock analysts at Zacks Research from a "hold" rating to a "strong sell" rating in a report issued on Tuesday,Zacks.com reports.

Several other equities analysts have also weighed in on the company. Jefferies Financial Group restated a "buy" rating on shares of Olaplex in a report on Wednesday, March 4th. Canaccord Genuity Group lowered Olaplex from a "strong-buy" rating to a "hold" rating in a report on Thursday, March 26th. Telsey Advisory Group lifted their price target on shares of Olaplex from $2.00 to $2.06 and gave the company a "market perform" rating in a research report on Friday, March 27th. Evercore set a $2.50 price target on shares of Olaplex in a research report on Friday, March 6th. Finally, Weiss Ratings reiterated a "sell (d)" rating on shares of Olaplex in a research note on Tuesday, April 21st. One equities research analyst has rated the stock with a Buy rating, four have assigned a Hold rating and two have assigned a Sell rating to the stock. Based on data from MarketBeat, the stock has a consensus rating of "Reduce" and an average price target of $1.92.

Olaplex Price Performance

Shares of OLPX opened at $2.04 on Tuesday. The firm has a market cap of $1.37 billion, a PE ratio of -204.00 and a beta of 1.87. The firm's 50 day moving average price is $1.75 and its 200 day moving average price is $1.48. The company has a debt-to-equity ratio of 0.40, a quick ratio of 4.00 and a current ratio of 4.58. Olaplex has a twelve month low of $0.99 and a twelve month high of $2.04.

Olaplex (NASDAQ:OLPX - Get Free Report) last issued its quarterly earnings data on Thursday, March 5th. The company reported $0.01 earnings per share for the quarter, meeting the consensus estimate of $0.01. The firm had revenue of $105.12 million for the quarter, compared to analyst estimates of $104.21 million. Olaplex had a negative net margin of 2.19% and a positive return on equity of 1.07%. The company's revenue for the quarter was up 4.4% on a year-over-year basis. During the same quarter last year, the firm earned $0.01 earnings per share. As a group, research analysts expect that Olaplex will post 0.09 EPS for the current fiscal year.

Insider Activity at Olaplex

In other Olaplex news, General Counsel John C. Duffy sold 34,962 shares of the business's stock in a transaction on Thursday, March 12th. The shares were sold at an average price of $1.26, for a total value of $44,052.12. Following the sale, the general counsel owned 982,855 shares of the company's stock, valued at $1,238,397.30. The trade was a 3.43% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through this link. Also, CFO Catherine Dunleavy sold 93,809 shares of the business's stock in a transaction on Thursday, March 12th. The shares were sold at an average price of $1.26, for a total transaction of $118,199.34. Following the completion of the sale, the chief financial officer directly owned 3,026,885 shares in the company, valued at $3,813,875.10. This trade represents a 3.01% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold 215,442 shares of company stock worth $271,457 over the last three months. Company insiders own 4.30% of the company's stock.

Institutional Investors Weigh In On Olaplex

Several institutional investors and hedge funds have recently bought and sold shares of the business. Bank of New York Mellon Corp increased its holdings in Olaplex by 3.3% in the 1st quarter. Bank of New York Mellon Corp now owns 666,886 shares of the company's stock valued at $1,354,000 after buying an additional 21,085 shares during the period. ABC Arbitrage SA bought a new stake in shares of Olaplex in the 1st quarter valued at approximately $265,000. Sequoia Financial Advisors LLC bought a new stake in shares of Olaplex in the 1st quarter valued at approximately $36,000. Hsbc Holdings PLC grew its stake in shares of Olaplex by 271.7% in the 1st quarter. Hsbc Holdings PLC now owns 73,882 shares of the company's stock valued at $150,000 after purchasing an additional 54,003 shares during the period. Finally, Credit Industriel ET Commercial bought a new stake in shares of Olaplex in the 1st quarter valued at approximately $989,000. Institutional investors own 87.37% of the company's stock.

About Olaplex

Olaplex, Inc NASDAQ: OLPX is a specialty haircare company known for its patented bond-building technology designed to repair and strengthen hair from within. The company’s core offerings encompass a range of professional salon treatments and at-home maintenance products that target chemical damage, breakage and split ends. Olaplex formulations are built around a proprietary active ingredient that works at the molecular level to rebuild disulfide bonds broken during bleaching, coloring and heat styling processes.

Founded in 2014 and headquartered in Irvine, California, Olaplex initially gained traction among high-end salons before expanding into broader retail channels.

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.