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

e.l.f. Beauty (NYSE:ELF) released its quarterly earnings results on Wednesday. The company reported $1.75 EPS for the quarter, topping analysts’ consensus estimates of $0.71 by $1.04, FiscalAI reports. e.l.f. Beauty had a return on equity of 11.02% and a net margin of 1.61%.During the same quarter last year, the company earned $0.89 EPS. The business’s revenue was up 35.5% on a year-over-year basis. e.l.f. Beauty updated its FY 2027 guidance to 3.500-3.550 EPS.

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

• Q1 net sales rose 36%, marking e.l.f. Beauty’s 30th consecutive quarter of growth. Adjusted EBITDA increased 93% year over year, although results benefited from approximately $50 million in tariff refunds.
• Management raised fiscal 2027 guidance to 18%–20% net sales growth, adjusted EBITDA of $401 million–$407 million, and adjusted EPS of $3.50–$3.55, citing improving trends across e.l.f., Naturium, and Rhode.
• Rhode continued to materially outperform expectations, contributing approximately $160 million in Q1 sales and generating $27 million in direct-to-consumer sales in one day. The brand is scheduled to expand into Sephora across 19 European countries in September.
• The company is expanding its growth runway through e.l.f. Hair, international distribution, and new retail placements, including Boots in the U.K., Sephora Brazil, Dollar General for e.l.f. Skin, and Sephora Canada and Mexico for Naturium.
• Unit volumes declined approximately 3% in Q1, and management plans to reinvest the tariff refund through lower prices on about 10% of e.l.f. SKUs and higher marketing spending. Gross-margin benefits from the refund are therefore expected to be fully reinvested, while Rhode’s shift toward retail is expected to create mix pressure.

e.l.f. Beauty Stock Performance

e.l.f. Beauty stock traded up $5.90 during trading hours on Thursday, hitting $92.27. The company had a trading volume of 4,789,204 shares, compared to its average volume of 2,859,031. The company has a debt-to-equity ratio of 0.72, a current ratio of 2.35 and a quick ratio of 1.69. The firm has a 50-day moving average of $69.81 and a 200 day moving average of $71.54. e.l.f. Beauty has a one year low of $48.82 and a one year high of $150.99. The firm has a market cap of $5.44 billion, a PE ratio of 200.58, a PEG ratio of 3.42 and a beta of 1.58.

Insider Buying and Selling at e.l.f. Beauty

In other e.l.f. Beauty news, insider Mandy J. Fields sold 8,464 shares of e.l.f. Beauty stock in a transaction on Thursday, June 4th. The stock was sold at an average price of $51.94, for a total value of $439,620.16. Following the completion of the transaction, the insider directly owned 111,288 shares of the company’s stock, valued at $5,780,298.72. The trade was a 7.07% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, CEO Tarang Amin sold 50,164 shares of the firm’s stock in a transaction on Wednesday, July 1st. The stock was sold at an average price of $78.24, for a total value of $3,924,831.36. Following the completion of the transaction, the chief executive officer owned 110,496 shares in the company, valued at $8,645,207.04. The trade was a 31.22% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold 121,855 shares of company stock valued at $8,351,493 in the last quarter. Company insiders own 3.50% of the company’s stock.

Institutional Trading of e.l.f. Beauty

Institutional investors and hedge funds have recently made changes to their positions in the company. Price T Rowe Associates Inc. MD lifted its position in shares of e.l.f. Beauty by 47.9% during the 4th quarter. Price T Rowe Associates Inc. MD now owns 2,197,319 shares of the company’s stock worth $167,086,000 after buying an additional 711,540 shares during the last quarter. State Street Corp increased its holdings in e.l.f. Beauty by 0.8% in the fourth quarter. State Street Corp now owns 1,737,181 shares of the company’s stock worth $132,095,000 after purchasing an additional 13,231 shares in the last quarter. Ensign Peak Advisors Inc grew its position in shares of e.l.f. Beauty by 37.7% during the 4th quarter. Ensign Peak Advisors Inc now owns 1,319,523 shares of the company’s stock worth $100,337,000 after buying an additional 361,371 shares during the period. Morgan Stanley raised its holdings in shares of e.l.f. Beauty by 13.2% during the fourth quarter. Morgan Stanley now owns 1,184,786 shares of the company’s stock valued at $90,091,000 after purchasing an additional 138,415 shares during the period. Finally, Dimensional Fund Advisors LP raised its stake in e.l.f. Beauty by 17.9% during the 4th quarter. Dimensional Fund Advisors LP now owns 620,252 shares of the company’s stock worth $47,165,000 after buying an additional 94,026 shares during the period. Institutional investors own 92.44% of the company’s stock.

e.l.f. Beauty News Summary

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

• Positive Sentiment: Q1 results exceeded expectations: Adjusted earnings were $1.75 per share versus the $0.71 consensus estimate, while revenue rose 35.5% year over year to $479.4 million, above expectations of approximately $431 million. e.l.f. Beauty quarterly earnings report
• Positive Sentiment: Rhode is driving growth: The acquired brand generated about $160 million in quarterly sales, while international revenue increased 61%. Management said Rhode, improving organic trends and global expansion contributed substantially to sales growth. e.l.f. Beauty Q1 earnings beat
• Positive Sentiment: Fiscal 2027 outlook was raised: e.l.f. now expects net sales growth of 18% to 20%, compared with its prior 12% to 14% forecast, implying revenue near the $2 billion milestone. EPS guidance of $3.50 to $3.55 also exceeds the roughly $3.12 analyst consensus. e.l.f. Beauty raises fiscal 2027 outlook
• Positive Sentiment: Analyst support improved: B. Riley raised its price target from $70 to $100 and maintained a buy rating, reinforcing the bullish reaction to the earnings release. B. Riley price target report
• Neutral Sentiment: Tariff refunds boosted profitability: Approximately $50 million of IEEPA tariff refunds helped lift gross margin and nearly double net income. e.l.f. plans to reinvest the refunds, but investors may discount some of the earnings benefit because it is not expected to recur.
• Negative Sentiment: Execution risks remain: Investors continue to watch whether the core e.l.f. brand can regain momentum without relying on Rhode, particularly after earlier price increases affected unit volume. Elevated debt following the Rhode acquisition and substantial recent insider selling may also temper enthusiasm.

Wall Street Analyst Weigh In

Several analysts have commented on the stock. Canaccord Genuity Group raised their target price on shares of e.l.f. Beauty from $90.00 to $97.00 and gave the stock a “buy” rating in a report on Friday, July 17th. Robert W. Baird set a $105.00 price objective on shares of e.l.f. Beauty in a research report on Thursday. Raymond James Financial raised their price objective on shares of e.l.f. Beauty from $85.00 to $87.00 and gave the stock a “strong-buy” rating in a report on Tuesday, July 14th. 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 on the stock in a research report on Thursday, May 21st. Finally, UBS Group increased their target price on e.l.f. Beauty from $80.00 to $89.00 and gave the stock a “neutral” rating in a report on Thursday. One research analyst has rated the stock with a Strong Buy rating, ten have assigned a Buy rating, six have assigned a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average price target of $88.19.

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.