e.l.f. Beauty Reports Strong Q3 2026 Earnings Growth
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1h ago
0mins
Should l Buy ELF?
Source: seekingalpha
- Consistent Growth: e.l.f. Beauty achieved a 38% increase in net sales for Q3, marking the company's 28th consecutive quarter of sales growth, reflecting strong performance and market share gains in the cosmetics sector.
- Significant Acquisition Contribution: The acquisition of Rhode contributed $128 million to Q3 sales, accounting for approximately 36 percentage points of overall growth, indicating successful brand integration and market expansion.
- Optimistic Outlook: The company raised its fiscal 2026 net sales growth forecast to 22%-23%, primarily driven by Rhode's strong performance, which is expected to contribute approximately $260 million to $265 million in sales, showcasing management's confidence in future growth.
- Marketing Investment: Marketing spend accounted for 21% of net sales in Q3, with plans to target 27% of net sales in the second half of the year, aimed at enhancing brand awareness and competitive positioning in the market.
Trade with 70% Backtested Accuracy
Stop guessing "Should I Buy ELF?" and start using high-conviction signals backed by rigorous historical data.
Sign up today to access powerful investing tools and make smarter, data-driven decisions.
Analyst Views on ELF
Wall Street analysts forecast ELF stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for ELF is 117.50 USD with a low forecast of 85.00 USD and a high forecast of 136.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
13 Analyst Rating
10 Buy
3 Hold
0 Sell
Strong Buy
Current: 84.810
Low
85.00
Averages
117.50
High
136.00
Current: 84.810
Low
85.00
Averages
117.50
High
136.00
About ELF
e.l.f. Beauty, Inc. is a multi-brand beauty company. The Company offers inclusive, accessible, clean, vegan, and cruelty-free cosmetics and skincare products. The Company's family of brands includes e.l.f. Cosmetics, e.l.f. SKIN, Naturium, Well People, Keys Soulcare, and rhode. Its e.l.f. SKIN is an ingredient-focused, dermatologist-developed formulas for every eye, lip and face. The Company operates across beauty categories including eye, lip, and face makeup, beauty tools and accessories, and skincare products. Its color cosmetics and skin care products are broadly sold through food, drug, and mass channels, as well as through department stores and direct and specialty channels. The Company sells its products with retailers in the United States, as well as internationally. It also sells its products online through its own direct e-commerce channels, as well as through other e-commerce Websites.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
E.l.f. Beauty Reports Impressive Earnings, Leading to Stock Surge.
- Strong Financial Performance: E.l.f. Beauty reported fiscal third-quarter results that exceeded Wall Street's expectations.
- Stock Market Reaction: Following the positive earnings report, E.l.f. Beauty's stock experienced a surge in after-hour trading.
See More
e.l.f. Beauty Q3 Earnings Announcement Scheduled
- Earnings Release Date: e.l.f. Beauty is set to announce its Q3 earnings on February 4th after market close, with consensus EPS estimated at $0.72 and revenue expected to reach $461.78 million, indicating investor interest in the company's financial performance.
- Historical Performance: Over the past two years, e.l.f. Beauty has exceeded EPS and revenue estimates 88% of the time, showcasing the company's strong profitability and market adaptability, which bolsters investor confidence.
- Estimate Revisions: In the last three months, there have been no upward revisions to EPS estimates, with 15 downward adjustments, while revenue estimates saw 2 upward revisions and 12 downward, suggesting a weakening market outlook for the company.
- Market Reaction Analysis: Despite facing short-term headwinds, analysts believe e.l.f. Beauty's medium-term outlook remains strong, potentially providing investors with an opportunity to re-enter the market following the recent stock price decline.
See More
e.l.f. Beauty Projects Over $50 Million in Costs by 2026 Due to Tariffs
- Significant Tariff Impact: e.l.f. Beauty estimates that by 2026, it will incur over $50 million in annual costs due to tariffs imposed by the U.S. on global trading partners, particularly as 75% of its products are sourced from China.
- Stock Price Volatility: The company's stock traded at $100 in early November but has since lost 28% by the last close; however, shares surged over 5% after hours on Wednesday, indicating a bullish sentiment among investors regarding its future performance.
- Gross Margin Fluctuations: In the third quarter, e.l.f. reported a gross margin of 71%, down 30 basis points year-over-year but up 200 basis points sequentially from the second quarter, with CFO Mandy Fields attributing the decline primarily to tariffs, although price increases helped mitigate some effects.
- Optimistic Market Expectations: Retail traders anticipate that e.l.f.'s stock could break the $100 mark again, especially with Estee Lauder set to report strong earnings soon, as market sentiment has shifted from neutral to extremely bullish, reflecting renewed investor confidence in the stock.
See More
e.l.f. Beauty Reports Strong Q3 2026 Earnings Growth
- Consistent Growth: e.l.f. Beauty achieved a 38% increase in net sales for Q3, marking the company's 28th consecutive quarter of sales growth, reflecting strong performance and market share gains in the cosmetics sector.
- Significant Acquisition Contribution: The acquisition of Rhode contributed $128 million to Q3 sales, accounting for approximately 36 percentage points of overall growth, indicating successful brand integration and market expansion.
- Optimistic Outlook: The company raised its fiscal 2026 net sales growth forecast to 22%-23%, primarily driven by Rhode's strong performance, which is expected to contribute approximately $260 million to $265 million in sales, showcasing management's confidence in future growth.
- Marketing Investment: Marketing spend accounted for 21% of net sales in Q3, with plans to target 27% of net sales in the second half of the year, aimed at enhancing brand awareness and competitive positioning in the market.
See More
e.l.f. Beauty Reports Earnings Exceeding Expectations, Shares Surge
- Strong Earnings Report: e.l.f. Beauty's third-quarter net sales reached $489.5 million, marking a 38% increase and surpassing Wall Street's expectation of $457.33 million, indicating robust growth in both U.S. and international retail and e-commerce channels.
- Significant EPS Increase: The adjusted earnings per share came in at $1.24, far exceeding the analyst estimate of $0.72, reflecting a notable enhancement in the company's profitability and boosting investor confidence.
- Fiscal 2026 Outlook Raised: The company raised its fiscal 2026 revenue outlook to $1.6 billion to $1.61 billion, up from the previous forecast of $1.55 billion to $1.57 billion, demonstrating an optimistic view on future growth.
- Improved Earnings Forecast: The adjusted EPS for fiscal 2026 is now expected to be between $3.05 and $3.10, exceeding the analyst estimate of $2.87, further solidifying market confidence in the company's future performance.
See More
E.l.f. Beauty Reports Huge Earnings Beat and Raises Guidance
- Strong Earnings Report: E.l.f. Beauty's Q3 earnings per share reached $1.24, significantly exceeding the expected $0.72, with revenue hitting $490 million, surpassing analyst forecasts of $460 million, indicating robust growth in global markets.
- Significant Sales Growth: Net sales increased by 38% year-over-year, rising from $355 million to $489.5 million, reflecting strong performance across retail and e-commerce channels, further solidifying the company's market position.
- Acquisition Boosts Performance: E.l.f. recently acquired celebrity Hailey Bieber's skincare brand, Rhode, for approximately $1 billion, with projections indicating it will contribute up to $265 million in net sales this year, an increase of $65 million from previous guidance, showcasing the strategic value of the acquisition.
- Guidance Raised for the Year: The company raised its full-year revenue outlook by $42 million to $50 million, with the CEO noting that Q3 market share gains and innovative marketing strategies will continue to drive the brand's leading position, demonstrating strong growth potential.
See More
E.l.f. Beauty Reports Impressive Earnings, Leading to Stock Surge.
- Strong Financial Performance: E.l.f. Beauty reported fiscal third-quarter results that exceeded Wall Street's expectations.
- Stock Market Reaction: Following the positive earnings report, E.l.f. Beauty's stock experienced a surge in after-hour trading.
See More
e.l.f. Beauty Q3 Earnings Announcement Scheduled
- Earnings Release Date: e.l.f. Beauty is set to announce its Q3 earnings on February 4th after market close, with consensus EPS estimated at $0.72 and revenue expected to reach $461.78 million, indicating investor interest in the company's financial performance.
- Historical Performance: Over the past two years, e.l.f. Beauty has exceeded EPS and revenue estimates 88% of the time, showcasing the company's strong profitability and market adaptability, which bolsters investor confidence.
- Estimate Revisions: In the last three months, there have been no upward revisions to EPS estimates, with 15 downward adjustments, while revenue estimates saw 2 upward revisions and 12 downward, suggesting a weakening market outlook for the company.
- Market Reaction Analysis: Despite facing short-term headwinds, analysts believe e.l.f. Beauty's medium-term outlook remains strong, potentially providing investors with an opportunity to re-enter the market following the recent stock price decline.
See More
e.l.f. Beauty Projects Over $50 Million in Costs by 2026 Due to Tariffs
- Significant Tariff Impact: e.l.f. Beauty estimates that by 2026, it will incur over $50 million in annual costs due to tariffs imposed by the U.S. on global trading partners, particularly as 75% of its products are sourced from China.
- Stock Price Volatility: The company's stock traded at $100 in early November but has since lost 28% by the last close; however, shares surged over 5% after hours on Wednesday, indicating a bullish sentiment among investors regarding its future performance.
- Gross Margin Fluctuations: In the third quarter, e.l.f. reported a gross margin of 71%, down 30 basis points year-over-year but up 200 basis points sequentially from the second quarter, with CFO Mandy Fields attributing the decline primarily to tariffs, although price increases helped mitigate some effects.
- Optimistic Market Expectations: Retail traders anticipate that e.l.f.'s stock could break the $100 mark again, especially with Estee Lauder set to report strong earnings soon, as market sentiment has shifted from neutral to extremely bullish, reflecting renewed investor confidence in the stock.
See More
e.l.f. Beauty Reports Strong Q3 2026 Earnings Growth
- Consistent Growth: e.l.f. Beauty achieved a 38% increase in net sales for Q3, marking the company's 28th consecutive quarter of sales growth, reflecting strong performance and market share gains in the cosmetics sector.
- Significant Acquisition Contribution: The acquisition of Rhode contributed $128 million to Q3 sales, accounting for approximately 36 percentage points of overall growth, indicating successful brand integration and market expansion.
- Optimistic Outlook: The company raised its fiscal 2026 net sales growth forecast to 22%-23%, primarily driven by Rhode's strong performance, which is expected to contribute approximately $260 million to $265 million in sales, showcasing management's confidence in future growth.
- Marketing Investment: Marketing spend accounted for 21% of net sales in Q3, with plans to target 27% of net sales in the second half of the year, aimed at enhancing brand awareness and competitive positioning in the market.
See More
e.l.f. Beauty Reports Earnings Exceeding Expectations, Shares Surge
- Strong Earnings Report: e.l.f. Beauty's third-quarter net sales reached $489.5 million, marking a 38% increase and surpassing Wall Street's expectation of $457.33 million, indicating robust growth in both U.S. and international retail and e-commerce channels.
- Significant EPS Increase: The adjusted earnings per share came in at $1.24, far exceeding the analyst estimate of $0.72, reflecting a notable enhancement in the company's profitability and boosting investor confidence.
- Fiscal 2026 Outlook Raised: The company raised its fiscal 2026 revenue outlook to $1.6 billion to $1.61 billion, up from the previous forecast of $1.55 billion to $1.57 billion, demonstrating an optimistic view on future growth.
- Improved Earnings Forecast: The adjusted EPS for fiscal 2026 is now expected to be between $3.05 and $3.10, exceeding the analyst estimate of $2.87, further solidifying market confidence in the company's future performance.
See More
E.l.f. Beauty Reports Huge Earnings Beat and Raises Guidance
- Strong Earnings Report: E.l.f. Beauty's Q3 earnings per share reached $1.24, significantly exceeding the expected $0.72, with revenue hitting $490 million, surpassing analyst forecasts of $460 million, indicating robust growth in global markets.
- Significant Sales Growth: Net sales increased by 38% year-over-year, rising from $355 million to $489.5 million, reflecting strong performance across retail and e-commerce channels, further solidifying the company's market position.
- Acquisition Boosts Performance: E.l.f. recently acquired celebrity Hailey Bieber's skincare brand, Rhode, for approximately $1 billion, with projections indicating it will contribute up to $265 million in net sales this year, an increase of $65 million from previous guidance, showcasing the strategic value of the acquisition.
- Guidance Raised for the Year: The company raised its full-year revenue outlook by $42 million to $50 million, with the CEO noting that Q3 market share gains and innovative marketing strategies will continue to drive the brand's leading position, demonstrating strong growth potential.
See More
