Piper Sandler lowered its price target on elf-beauty" class="internal-tag-link">e.l.f. Beauty shares (NYSE:ELF) to $60 from $85 while maintaining a Neutral rating on Monday.
The stock currently trades at $53.23, hovering just above its 52-week low of $52.78, with shares down 28% year-to-date.
According to Bond.az analysis, the stock appears undervalued at current levels, with Fair Value estimates suggesting potential upside.
The firm reduced its price target ahead of the company’s fourth-quarter fiscal 2026 earnings report scheduled for Tuesday morning. The focus will be on core Elf sales and the fiscal 2027 guidance.
Piper Sandler noted that e.l.f. Beauty will lap the disconnect between consumption and shipments in the second quarter of fiscal 2027. The company will also lap a $1 price increase starting August 1.
The rhode brand will face comparisons against its Sephora launch in early September, though the brand remains healthy and is scaling new distribution. Piper Sandler expects approximately 60% growth for rhode and sees potential upside from expansion into 19 new countries with Sephora Europe starting September.
Piper Sandler maintains below-consensus estimates for fiscal 2027 at $3.30 per share versus the Street estimate of $3.61.
