Elf Beauty's Mixed Reaction Post-Earnings Despite Expansion Plans

2 months ago

Denita Sokova

"Elf Beauty. Uh it had a really tough Thursday. It tumbled 35% after the earnings. Today we're seeing a reversal here. Shares rose as much as 10%. The company announced expansion in UT Beauty Mexico. The company has been growing through all those chains. Uh UT Beauty, Sephora. There was of course a lot of excitement for the acquisition of Haley Bieber's brand and that was kind of a whole new identity. Analysts were so excited. There were there was like a few weeks of really big rally but now what we saw after earnings was a pretty big disappointment. The company is down 37% year to date. It's been growing internationally and in the US. So perhaps this expansion in Mexico is one reason investors are really excited."

Elf Beauty experienced significant volatility after earnings, dropping 35% initially, then showing a short-term recovery of up to 10%. Despite recent international expansion, especially in Mexico, the stock remains under pressure with a 37% YTD decline, resulting in cautious investor sentiment.

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