e.l.f. Beauty's FY Outlook Misses Estimates, Q4 EPS Turns Negative
ELF is trading near its 52-week low of $50.13 (2.2% above the low) on elevated volume (3.1× avg).
Summary
e.l.f. Beauty reported mixed Q4 results, with sales of $449.292 million surpassing IBES estimates of $423.1 million, but a reported net loss of $49.365 million, translating to a negative EPS of $0.82. More significantly, the company issued full-year adjusted EPS guidance of $3.27-$3.32 and sales guidance of $1,835-$1,865 million, both falling below analyst consensus estimates of $3.61 and $1,866 million, respectively. This guidance miss is a material negative, especially following a strong Q3 report, and is likely to overshadow the Q4 sales beat. Given the stock is currently trading near its 52-week low, this weaker-than-expected outlook could trigger further downside. Traders will be closely monitoring management's commentary on the factors influencing the conservative full-year projections.
At the time of this announcement, ELF was trading at $51.25 on NYSE in the Trade & Services sector, with a market capitalization of approximately $3B. The 52-week trading range was $50.13 to $150.99. This news item was assessed with negative market sentiment and an importance score of 8 out of 10. Source: Reuters.