e.l.f. Beauty (NYSE:ELF) Shares Gap Down on Disappointing Earnings

Shares of e.l.f. Beauty, Inc. (NYSE:ELF) gapped down before the market opened on Friday following a dissappointing earnings announcement. The stock had previously closed at $88.49, but opened at $66.30. e.l.f. Beauty shares last traded at $72.67, with a volume of 10,315,908 shares traded.

The company reported $0.41 EPS for the quarter, missing the consensus estimate of $0.76 by ($0.35). e.l.f. Beauty had a net margin of 8.87% and a return on equity of 19.34%.

Analyst Upgrades and Downgrades

ELF has been the topic of a number of research analyst reports. JPMorgan Chase & Co. lifted their price target on shares of e.l.f. Beauty from $154.00 to $163.00 and gave the company an “overweight” rating in a research note on Thursday, January 16th. Bank of America reduced their price target on shares of e.l.f. Beauty from $190.00 to $165.00 and set a “buy” rating for the company in a research report on Tuesday, October 15th. DA Davidson lowered e.l.f. Beauty from a “buy” rating to a “neutral” rating and cut their price objective for the stock from $170.00 to $80.00 in a research note on Friday. Morgan Stanley restated an “equal weight” rating and issued a $70.00 target price (down previously from $153.00) on shares of e.l.f. Beauty in a research report on Friday. Finally, Truist Financial increased their price objective on e.l.f. Beauty from $130.00 to $150.00 and gave the company a “buy” rating in a research note on Wednesday, December 18th. One research analyst has rated the stock with a sell rating, five have issued a hold rating, eleven have given a buy rating and two have given a strong buy rating to the stock. According to data from MarketBeat, the company has an average rating of “Moderate Buy” and a consensus target price of $151.24.

Insider Transactions at e.l.f. Beauty

In other news, insider Scott Milsten sold 530 shares of the stock in a transaction that occurred on Friday, December 6th. The stock was sold at an average price of $137.60, for a total value of $72,928.00. Following the completion of the sale, the insider now directly owns 68,853 shares of the company’s stock, valued at approximately $9,474,172.80. This represents a 0.76 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Maureen C. Watson sold 785 shares of e.l.f. Beauty stock in a transaction on Friday, November 29th. The shares were sold at an average price of $130.00, for a total transaction of $102,050.00. Following the completion of the transaction, the director now directly owns 1,888 shares in the company, valued at $245,440. The trade was a 29.37 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last quarter, insiders sold 2,205 shares of company stock worth $297,442. 3.50% of the stock is currently owned by insiders.

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

Several hedge funds have recently made changes to their positions in ELF. Wilmington Savings Fund Society FSB purchased a new position in e.l.f. Beauty in the 3rd quarter valued at $25,000. Promus Capital LLC acquired a new stake in shares of e.l.f. Beauty in the 4th quarter worth $31,000. Kestra Investment Management LLC purchased a new stake in shares of e.l.f. Beauty in the fourth quarter valued at about $32,000. Financial Life Planners acquired a new position in shares of e.l.f. Beauty during the fourth quarter worth about $46,000. Finally, Planning Capital Management Corp raised its holdings in e.l.f. Beauty by 1,855.0% during the third quarter. Planning Capital Management Corp now owns 391 shares of the company’s stock worth $43,000 after purchasing an additional 371 shares in the last quarter. Institutional investors and hedge funds own 92.44% of the company’s stock.

e.l.f. Beauty Stock Performance

The stock’s 50-day moving average is $123.67 and its 200 day moving average is $128.61. The stock has a market cap of $4.07 billion, a price-to-earnings ratio of 38.82, a P/E/G ratio of 1.74 and a beta of 1.47. The company has a debt-to-equity ratio of 0.22, a current ratio of 1.78 and a quick ratio of 1.01.

About e.l.f. Beauty

e.l.f. Beauty, Inc is a holding company, which engages in the provision of inclusive, accessible, clean, vegan and cruelty free cosmetics and skin care products. The company focuses on the e-commerce, national retailers and international business channels. Its brands include elf, elf skin, WELL People and KEYS soulcare.