European Wax Center (NASDAQ:EWCZ) Stock Rating Lowered by Truist Financial

European Wax Center (NASDAQ:EWCZ) was downgraded by analysts at Truist Financial from a “buy” rating to a “hold” rating in a report issued on Tuesday, MarketBeat reports. They currently have a $5.80 target price on the stock, down from their prior target price of $6.00. Truist Financial’s price target indicates a potential upside of 1.40% from the company’s previous close.

Other equities research analysts have also issued research reports about the stock. Telsey Advisory Group restated a “market perform” rating and set a $5.00 price target on shares of European Wax Center in a research note on Tuesday, January 13th. Wall Street Zen raised European Wax Center from a “buy” rating to a “strong-buy” rating in a research note on Saturday, November 15th. Zacks Research raised shares of European Wax Center from a “hold” rating to a “strong-buy” rating in a research report on Monday, January 26th. Morgan Stanley reiterated an “underweight” rating and set a $3.75 price objective on shares of European Wax Center in a research note on Thursday, January 15th. Finally, Weiss Ratings reiterated a “sell (d+)” rating on shares of European Wax Center in a research note on Thursday, January 29th. One research analyst has rated the stock with a Strong Buy rating, five have given a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, the company has an average rating of “Hold” and a consensus price target of $7.37.

European Wax Center Price Performance

Shares of NASDAQ:EWCZ opened at $5.72 on Tuesday. The company has a quick ratio of 3.14, a current ratio of 3.67 and a debt-to-equity ratio of 3.57. The business’s 50 day moving average is $3.96 and its 200 day moving average is $3.99. European Wax Center has a 12-month low of $2.72 and a 12-month high of $7.60. The stock has a market cap of $310.94 million, a price-to-earnings ratio of 22.00, a PEG ratio of 0.53 and a beta of 1.46.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in EWCZ. AQR Capital Management LLC increased its holdings in shares of European Wax Center by 294.3% in the first quarter. AQR Capital Management LLC now owns 223,120 shares of the company’s stock worth $881,000 after purchasing an additional 166,532 shares during the last quarter. Goldman Sachs Group Inc. grew its holdings in European Wax Center by 50.2% during the 1st quarter. Goldman Sachs Group Inc. now owns 505,183 shares of the company’s stock valued at $1,995,000 after buying an additional 168,900 shares in the last quarter. Janney Montgomery Scott LLC increased its stake in European Wax Center by 8.2% in the 2nd quarter. Janney Montgomery Scott LLC now owns 91,284 shares of the company’s stock worth $514,000 after acquiring an additional 6,887 shares during the last quarter. Vanguard Personalized Indexing Management LLC bought a new stake in European Wax Center in the 2nd quarter worth approximately $60,000. Finally, CWM LLC raised its holdings in shares of European Wax Center by 1,275.9% during the 2nd quarter. CWM LLC now owns 14,337 shares of the company’s stock worth $81,000 after acquiring an additional 13,295 shares in the last quarter. Institutional investors own 82.14% of the company’s stock.

Key European Wax Center News

Here are the key news stories impacting European Wax Center this week:

• Positive Sentiment: All-cash buyout agreed: General Atlantic will take EWCZ private in a $330M transaction at $5.80 per share — this is the primary driver of the stock rally. European Wax Center to Be Taken Private
• Positive Sentiment: Shares reacted sharply intraday (high volume), consistent with a buyout premium and media coverage explaining the surge. European Wax Center stock soars
• Positive Sentiment: Telsey Advisory Group raised its price target to $5.80 and maintained a market-perform rating — signaling analyst acceptance of the deal price. Telsey raises price target
• Neutral Sentiment: Trading was halted briefly ahead of the announcement, consistent with a material corporate disclosure process; no direct impact beyond timing.
• Neutral Sentiment: Short-interest data released around Feb. 10–11 shows zeros/NaN entries and a 0.0 days ratio — appears to be a data glitch and is not informative for positioning.
• Negative Sentiment: Multiple shareholder‑rights firms are investigating the deal and General Atlantic’s role as the company’s largest shareholder; Julie & Holleman says it has uncovered potential conflicts and claims the $5.80 price may be too low. Julie & Holleman investigation
• Negative Sentiment: Schall Law Firm opened an investigation giving investors the option to join potential litigation tied to the merger process — litigation risk could pressure the deal timeline and create uncertainty. Schall Law Firm investigation
• Negative Sentiment: Truist downgraded EWCZ from buy to hold (price target $5.80), which signals tepid analyst conviction above the deal price and limits perceived upside for remaining public holders. Truist downgrade

About European Wax Center

European Wax Center is a national provider of hair removal services and related beauty products. The company operates through a network of company-owned and franchised locations, delivering professional waxing treatments for both women and men. Its core service offerings include facial waxing, bikini and Brazilian waxes, arm and leg treatments, back and chest services, and specialized body waxing. In addition to waxing services, European Wax Center markets a range of proprietary retail products such as pre- and post-wax skincare lotions, exfoliating treatments, and moisturizers designed to enhance client comfort and results.

Founded in 2004, European Wax Center introduced a standardized approach to the waxing experience, focusing on consistent training, customer education, and hygienic protocols.