Shares of e.l.f. Beauty (NYSE: ELF) surged 12% in January due to changes in tariffs and investor sentiment. The brand, known for eco-friendly products, saw 14% revenue growth in Q2. Despite challenges, e.l.f. remains a top teen favorite and is expanding globally, with a recent acquisition of premium brand Rhode.

President Trump’s tariff reductions and attractive pricing have improved e.l.f.’s outlook. The stock trades at 22 times forward earnings and reported a 69% gross margin in Q2. With expectations for 19% growth this year, investors are watching the upcoming earnings report for insights on tariffs and margins.

Despite a rough 2025, e.l.f. Beauty is making a comeback in 2026. The company’s resilience, strong branding, and growth strategies are positioning it for success. While not on the top 10 stocks list, e.l.f. Beauty’s potential for long-term growth remains promising for investors.

Read more at Yahoo Finance: Why e.l.f. Beauty Stock Jumped 12% in January