Olaplex (NASDAQ:OLPX) Shares Gap Up After Analyst Upgrade

Key Points

• Olaplex's stock price increased from $1.40 to $1.50 following an upgrade from Canaccord Genuity Group, which changed its rating from hold to buy, with a new price target of $2.00.
• During the fourth quarter, several institutional investors, including JPMorgan Chase & Co. and Marshall Wace LLP, significantly increased their stakes in Olaplex, with institutional holdings now at 87.37%.
• Olaplex reported quarterly earnings with a negative net margin of 0.30% and revenue of $106.28 million, surpassing analyst expectations of $100.30 million, but it missed earnings per share estimates.

Olaplex Holdings, Inc. (NASDAQ:OLPX - Get Free Report)'s stock price gapped up prior to trading on Monday after Canaccord Genuity Group upgraded the stock from a hold rating to a buy rating. The stock had previously closed at $1.40, but opened at $1.50. Canaccord Genuity Group now has a $2.00 price target on the stock, up from their previous price target of $1.50. Olaplex shares last traded at $1.64, with a volume of 1,576,118 shares trading hands.

A number of other brokerages have also weighed in on OLPX. Wall Street Zen upgraded shares of Olaplex from a "sell" rating to a "hold" rating in a report on Saturday, July 12th. Telsey Advisory Group restated a "market perform" rating and issued a $2.00 price objective on shares of Olaplex in a report on Thursday, August 7th. Finally, Barclays raised their price objective on shares of Olaplex from $1.40 to $1.50 and gave the company an "equal weight" rating in a report on Tuesday, July 15th. One investment analyst has rated the stock with a Buy rating and three have assigned a Hold rating to the company's stock. According to MarketBeat.com, the company currently has an average rating of "Hold" and a consensus target price of $1.88.

Institutional Investors Weigh In On Olaplex

Several hedge funds have recently made changes to their positions in OLPX. JPMorgan Chase & Co. boosted its stake in shares of Olaplex by 152.4% during the fourth quarter. JPMorgan Chase & Co. now owns 156,563 shares of the company's stock worth $271,000 after buying an additional 94,531 shares during the period. Wells Fargo & Company MN boosted its stake in shares of Olaplex by 27.6% during the fourth quarter. Wells Fargo & Company MN now owns 81,972 shares of the company's stock worth $142,000 after buying an additional 17,726 shares during the period. Marshall Wace LLP boosted its stake in shares of Olaplex by 620.8% during the fourth quarter. Marshall Wace LLP now owns 1,001,339 shares of the company's stock worth $1,732,000 after buying an additional 862,419 shares during the period. Dimensional Fund Advisors LP boosted its holdings in shares of Olaplex by 162.0% in the fourth quarter. Dimensional Fund Advisors LP now owns 2,316,519 shares of the company's stock valued at $4,008,000 after acquiring an additional 1,432,400 shares in the last quarter. Finally, Hsbc Holdings PLC purchased a new stake in shares of Olaplex in the fourth quarter valued at about $34,000. Institutional investors and hedge funds own 87.37% of the company's stock.

Olaplex Trading Up 14.6%

The firm has a market cap of $1.07 billion, a PE ratio of 35.00 and a beta of 2.33. The company's fifty day moving average price is $1.45 and its two-hundred day moving average price is $1.37. The company has a quick ratio of 3.20, a current ratio of 3.86 and a debt-to-equity ratio of 0.40.

Olaplex (NASDAQ:OLPX - Get Free Report) last announced its quarterly earnings data on Thursday, August 7th. The company reported ($0.01) earnings per share for the quarter, missing analysts' consensus estimates of $0.01 by ($0.02). Olaplex had a negative net margin of 0.30% and a positive return on equity of 3.32%. The business had revenue of $106.28 million during the quarter, compared to analysts' expectations of $100.30 million. During the same period in the prior year, the firm posted $0.03 EPS. Olaplex's revenue for the quarter was up 2.3% compared to the same quarter last year. Olaplex has set its FY 2025 guidance at EPS. As a group, sell-side analysts forecast that Olaplex Holdings, Inc. will post 0.1 earnings per share for the current fiscal year.

About Olaplex

Olaplex Holdings, Inc develops, manufactures, and sells hair care products in the United States and internationally. The company offers hair care shampoos and conditioners for use in treatment, maintenance, and protection of hair, as well as oil, moisture mask, and nourishing hair serum. It provides hair care products to professional hair salons, retailers, and everyday consumers.

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