Beauty stocks like Coty and Ulta Beauty are struggling, but e.l.f. Beauty has doubled its stock price through social media marketing and innovative products. With a market cap of $7.9 billion, ELF stock rebounded 176% from a 52-week low to a 9.7% YTD gain, but may be overpriced at 38x forward earnings.

In Q1 FY2026, e.l.f. Beauty saw 9% YoY sales growth to $353.7 million, driven by U.S. retail and e-commerce. International sales surged 30%, but growth has slowed from last year. With adjusted earnings of $0.76 per share, the company remains profitable and generates solid cash flow.

Analysts are bullish on e.l.f. Beauty, citing its structural growth story, innovation, and international expansion. With strong unit sales and limited impact from price hikes, the company is expected to see continued sales strength. Despite surpassing its mean price target, the stock still has around 9% potential upside.

Read more at Yahoo Finance: This 1 Unlikely Stock Is Up 100% in the Past 6 Months. Should You Buy Shares Here?