e.l.f. Beauty (NYSE:ELF) Issues Quarterly Earnings Results, Beats Estimates By $0.52 EPS

e.l.f. Beauty (NYSE:ELF) released its earnings results on Wednesday. The company reported $1.24 EPS for the quarter, beating analysts’ consensus estimates of $0.72 by $0.52, Briefing.com reports. e.l.f. Beauty had a return on equity of 13.77% and a net margin of 5.90%.The firm had revenue of $489.51 million for the quarter, compared to analysts’ expectations of $461.78 million. During the same quarter in the prior year, the firm posted $0.74 earnings per share. The company’s quarterly revenue was up 37.8% on a year-over-year basis. e.l.f. Beauty updated its FY 2026 guidance to 3.050-3.100 EPS.

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

• Q3 results and upgraded guidance: Net sales grew 38% and adjusted EBITDA grew 79% in Q3, management raised FY26 net sales guidance to ~22%–23% and now expects Rhode to contribute ~$260M–$265M for the year.
• Weak organic growth outside of Rhode: Excluding Rhode, Q3 net sales rose only ~2% and management expects organic net sales of ~2% for the year, with softness in the U.K. and Germany and unit volumes roughly flat.
• Near-term margin pressure from increased investments: Marketing and SG&A investments (marketing ~27% of net sales in H2, a Super Bowl/streaming commercial, space and team buildouts) drive an implied H2 adjusted EBITDA margin of ~19% (down ~300 bps YoY) despite a stronger full-year EBITDA outlook.
• Strong brand momentum and international runway: e.l.f. Cosmetics consumption grew 8% in the U.S. (e.l.f. Skin +16%), the company continues market-share gains (130 bps in Q3) and is scaling high-growth brands like Rhode with record Sephora launches and further global rollouts planned.
• Healthy balance sheet and capital returns: Cash rose to $197M, the company repurchased ~$50M of stock in the quarter with ~$400M remaining authorization, and net debt is under 2x adjusted EBITDA.

e.l.f. Beauty Stock Performance

Shares of e.l.f. Beauty stock traded down $7.74 during midday trading on Thursday, hitting $76.89. The company had a trading volume of 5,546,014 shares, compared to its average volume of 2,073,968. The stock has a market cap of $4.59 billion, a price-to-earnings ratio of 54.15, a PEG ratio of 7.94 and a beta of 1.71. e.l.f. Beauty has a 12-month low of $49.40 and a 12-month high of $150.99. The company has a quick ratio of 1.76, a current ratio of 2.70 and a debt-to-equity ratio of 0.73. The company has a fifty day simple moving average of $82.14 and a 200 day simple moving average of $105.64.

e.l.f. Beauty News Roundup

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

• Positive Sentiment: Q3 results materially beat expectations — strong revenue performance (reported $489.5M) and an above‑consensus adjusted EPS, showing meaningful year‑over‑year growth. e.l.f. Beauty (ELF) Q3 Earnings and Revenues Top Estimates
• Positive Sentiment: Company raised FY26 guidance — management increased revenue and EPS outlook (including net‑sales growth guidance ~22%–23% and elevated EPS guidance range), signaling confidence in continued demand for affordable cosmetics. Elf Beauty lifts annual forecasts as affordable products drive demand
• Positive Sentiment: Some analysts reacted positively — Bank of America reiterated a Buy and set a $115 target, reflecting confidence in execution and the growth outlook. e.l.f. Beauty: Strong Execution, Conservative Guidance, and Robust Growth Outlook Support Buy Rating and $115 Target
• Neutral Sentiment: Full earnings materials and call transcript are available for investors who want detail on margins, rhode rollout progress, and SG&A investments. e.l.f. Beauty, Inc. (ELF) Q3 2026 Earnings Call Transcript
• Neutral Sentiment: Market commentary highlights institutional accumulation and a potential technical base, which could support shares if execution continues. e.l.f. Beauty (ELF) coverage on MarketBeat
• Negative Sentiment: Some investors sold into the rally because the guidance raise was viewed as modest versus heightened expectations, triggering a pullback despite the beat — a primary driver of today’s downside. Elf Beauty shares slip as guidance lift falls short of expectations
• Negative Sentiment: At least one major analyst (UBS) kept a Hold rating, citing valuation and growth‑durability concerns — signaling some skepticism that could limit upside until sustained execution is proven. e.l.f. Beauty: Strong Q3 and Raised Outlook Tempered by Valuation and Growth Durability Concerns

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

Large investors have recently made changes to their positions in the stock. EverSource Wealth Advisors LLC raised its stake in e.l.f. Beauty by 97.0% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 260 shares of the company’s stock worth $32,000 after acquiring an additional 128 shares during the last quarter. Northwestern Mutual Wealth Management Co. boosted its holdings in shares of e.l.f. Beauty by 58.5% in the 2nd quarter. Northwestern Mutual Wealth Management Co. now owns 317 shares of the company’s stock valued at $39,000 after acquiring an additional 117 shares during the last quarter. Johnson Financial Group Inc. purchased a new position in shares of e.l.f. Beauty during the third quarter worth $64,000. Wexford Capital LP purchased a new stake in e.l.f. Beauty in the third quarter valued at $87,000. Finally, Smartleaf Asset Management LLC grew its position in e.l.f. Beauty by 44.3% during the 2nd quarter. Smartleaf Asset Management LLC now owns 1,095 shares of the company’s stock worth $138,000 after purchasing an additional 336 shares during the period. 92.44% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

A number of equities analysts have commented on ELF shares. Citigroup upped their target price on shares of e.l.f. Beauty from $110.00 to $115.00 and gave the stock a “buy” rating in a research note on Thursday. Deutsche Bank Aktiengesellschaft restated a “hold” rating and set a $92.00 price target on shares of e.l.f. Beauty in a research note on Thursday, January 29th. Zacks Research raised shares of e.l.f. Beauty from a “strong sell” rating to a “hold” rating in a research report on Monday, January 5th. Jefferies Financial Group started coverage on shares of e.l.f. Beauty in a research note on Wednesday, January 14th. They issued a “buy” rating and a $110.00 price objective for the company. Finally, Weiss Ratings restated a “hold (c)” rating on shares of e.l.f. Beauty in a research note on Wednesday, January 21st. One research analyst has rated the stock with a Strong Buy rating, eleven have issued a Buy rating and six have assigned a Hold rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $119.75.

e.l.f. Beauty Company Profile

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.