e.l.f. Beauty Trades at 19 Times Earnings as Growth Shifts to Rhode and Naturium

Earnings
โดย Zacks Investment Research·Read original
Summary · why it matters

e.l.f. Beauty shares have pulled back sharply, now trading at 19.3 times forward 12-month earnings, well below their five-year median of 52.36 times. The stock is down 14.4% year to date and 48.5% over the trailing 12 months, while management projects fiscal 2027 sales growth of 12% to 14%. Non-e.l.f. brands now represent about 30% of global consumption, with skincare climbing to roughly 23% of the mix from 9% three years ago. Rhode delivered about $390 million in fiscal 2026 net sales, growing more than 80% year over year, and remains in less than 20% of Sephora's global stores. Naturium generated nearly $250 million in fiscal 2026 global retail sales, roughly double its pre-acquisition level. International markets accounted for 21% of fiscal 2026 net sales. However, adjusted earnings fell 59% to 32 cents per share in the fourth quarter of fiscal 2026, as marketing and digital investment rose to 31% of sales from 23% a year earlier. Fiscal 2027 guidance calls for net sales of $1.84 billion to $1.90 billion and adjusted earnings of $3.27 to $3.32 per share, but depends on a second-half turnaround after an expected high-single-digit first-quarter organic sales decline. The core e.l.f. brand slowed to low-single-digit consumption growth in the final 12 weeks of fiscal 2026.

Impact on stocks 3

Consumer Staples▼ · 2 stocks
ELF Beauty Inc
ELF
▼ NegativeCapitalrelevance

Adjusted earnings fell 59% in Q4, core brand growth slowed, and guidance depends on a second-half turnaround.

Coty Inc
COTY
▼ NegativeCompetitionrelevance

Article highlights growth of non-e.l.f. brands like Rhode and Naturium, which compete with Coty in the beauty space.

Consumer Discretionary▲ · 1 stocks

Off-coverage companies 1

SephoraPrivate▲ Positive
Demandrelevance

Rhode is in less than 20% of Sephora's global stores, implying expansion potential for Sephora.

© 2026 MarketDXNews