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Two of the hottest stocks in the personal care sector are Honest Company (HNST) and e.l.f. Beauty (ELF). Over the last six months, shares of Honest Company (HNST) are up more than 60%, while e.l.f. Beauty (ELF) is more than 40% higher. Notably, the two stocks are ranked at the very top of the personal products sector on a quantitative analysis basis.
Honest Company by the numbers: California-based Honest Company (HNST) reiterated its FY23 revenue and adjusted EBITDA outlook in early January. With its FQ1 earnings report due out in March, Honest Company (HNST) is expected to report revenue of $84.1M and EPS of -$0.07. The last three EPS revisions on HNST have been to the upward side. Short interest on HNST stands at only 3.6% of the total float. The stock trades above its 100-day and 200-day moving averages.
e.l.f. Beauty by the numbers: Shares of e.l.f. Beauty (ELF) have started the year with a 9% jump. The California-based company is due to report earnings on February 6, with analysts expecting revenue of $231.6M and EPS of $0.51. The last 14 EPS revisions on ELF have been to the upward side. ELF has higher marks than sector peers for gross profit margin, EBITDA margin, and cash per share. The five-year sales growth rate of 18.6% on average is also well above the sector average.
Honest Company (HNST) is on Seeking Alpha’s Catalyst Watch this week with CEO Carla Vernon due to talk the three-day National Retail Federation Big Show. Meanwhile, e.l.f. Beauty (ELF) is looking to create some buzz with a new 15-minute parody film streaming on Amazon Freevee and Youtube. The parody film will also appear in AMC (AMC) theaters just ahead of Paramount’s (PARA) new Mean Girls movie.
Further Insights on e.l.f. Beauty and Honest Company
