Yahoo Finance E.l.f. Beauty (ELF) Beats Stock Market Upswing: What Investors Need to Know
e.l.f. Beauty (ELF) ended the recent trading session at $160.53, demonstrating a +1.27% swing from the preceding day's closing price. This move outpaced the S&P 500's daily gain of 0.91%. Elsewhere, the Dow saw an upswing of 0.85%, while the tech-heavy Nasdaq appreciated by 1.51%.
The cosmetics company's stock has dropped by 3.21% in the past month, falling short of the Consumer Staples sector's loss of 1.16% and outpacing the S&P 500's loss of 4.2%.
Investors will be eagerly watching for the performance of e.l.f. Beauty in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $0.34, marking a 19.05% fall compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $291.54 million, showing a 55.6% escalation compared to the year-ago quarter.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for e.l.f. Beauty. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, there's been a 1.2% fall in the Zacks Consensus EPS estimate. Currently, e.l.f. Beauty is carrying a Zacks Rank of #3 (Hold).
Looking at its valuation, e.l.f. Beauty is holding a Forward P/E ratio of 44.71. For comparison, its industry has an average Forward P/E of 25.15, which means e.l.f. Beauty is trading at a premium to the group.
One should further note that ELF currently holds a PEG ratio of 1.25. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Cosmetics industry had an average PEG ratio of 1.55 as trading concluded yesterday.
The Cosmetics industry is part of the Consumer Staples sector. Currently, this industry holds a Zacks Industry Rank of 212, positioning it in the bottom 16% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow ELF in the coming trading sessions, be sure to utilize Zacks.com.
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e.l.f. Beauty (ELF) : Free Stock Analysis Report
