In the latest trading session, e.l.f. Beauty (ELF) closed at $76.42, marking a -2.96% move from the previous day. Meanwhile, the Dow experienced a rise of 1.14%, and the technology-dominated Nasdaq saw a decrease of 0.8%.
Heading into today, shares of the cosmetics company had gained 51.47% over the past month, outpacing the Consumer Staples sector's gain of 3.53% and the S&P 500's loss of 1.43%.
Investors will be eagerly watching for the performance of e.l.f. Beauty in its upcoming earnings disclosure. The company's earnings per share (EPS) are projected to be $0.73, reflecting a 17.98% decrease from the same quarter last year. Meanwhile, our latest consensus estimate is calling for revenue of $424.55 million, up 20.02% from the prior-year quarter.
For the full year, the Zacks Consensus Estimates project earnings of $3.31 per share and a revenue of $1.86 billion, demonstrating changes of +5.75% and +13.64%, respectively, from the preceding year.
Investors should also take note of any recent adjustments to analyst estimates for e.l.f Beauty. Such recent modifications usually signify the changing landscape of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. 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. Within the past 30 days, our consensus EPS projection has moved 0.37% higher. e.l.f. Beauty currently has a Zacks Rank of #3 (Hold).
With respect to valuation, e.l.f. Beauty is currently being traded at a Forward P/E ratio of 23.78. This denotes a premium relative to the industry average Forward P/E of 21.64.
Meanwhile, ELF's PEG ratio is currently 2.24. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Cosmetics industry had an average PEG ratio of 0.66 as trading concluded yesterday.
The Cosmetics industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 81, which puts it in the top 33% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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e.l.f. Beauty (ELF): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).