Fundamental analysis · SEC EDGAR · as of 31/03/2026

Fundamental analysis of E.l.f. Beauty, Inc.

ELF · NYSE · Perfumes, Cosmetics & Other Toilet Preparations

Fundamental quality

REASONABLE

69

out of 100

E.l.f. Beauty, Inc. earns a fundamental-quality score of 69 out of 100, profiling it as a company of reasonable quality. Its score rests mainly on its growth (revenue +38.8%/yr). Its weakest area is its profitability (net margin 1.6%). Whether it's cheap or expensive depends on the current price, which you can compute in the tool.

What the company does

e.l.f. Beauty sells quality cosmetics at low prices, with social-native marketing (TikTok) that connects with young consumers. It has gained market share from legacy brands quarter after quarter for years.

What will shape its future

  • Whether it can keep taking share now that the base is large and comparisons get tougher.
  • Its China-concentrated supply chain, exposed to tariffs and trade tensions.
  • International expansion and new categories (skincare), the next engines.

Breakdown by area

I.Growth
95

EPS growth: 29.7% · Revenue growth: 38.8%

II.Profitability
50

Net margin: 1.6% · ROE: 2.3%

III.Financial health
61

Net debt/EBITDA: 3.61x · FCF: 11.6%

Source: SEC EDGAR · as of 31/03/2026

The score combines growth, profitability and financial strength. Here its growth weighs in its favor, while its profitability drags it down the most.

Key concepts

What do these metrics mean? Fundamental analysis · What is the P/E · What is EPS · What is ROE · Net & gross margin · Free cash flow

Strengths

  • Revenue growing strongly (38.8% annualized).
  • High gross margin (70.7%), pointing to pricing power.
  • Growing earnings per share (29.7% annualized).
  • Revenue rising without interruption since 2021.

Risks and weaknesses

  • Its net debt has grown over the period.
  • High leverage (net debt of 3.61× EBITDA): more exposed to rates and to a rough patch.
  • Thin margins (net margin of 1.6%), little cushion for setbacks.
  • Low return on equity (ROE of 2.3%).

Historical evolution

YearRevenueNet incomeFree cash flowNet debt
2021318623-58
20223922215-43
202357962100-121
20241,02412862-108
20251,314112115-149
20261,63626190552

Between 2021 and 2026, revenue went from $318M to $1,636M (+414%) and net income went from $6M to $26M (+322%).

Annual figures in millions of U.S. dollars ($M) per SEC filings. Net debt is total debt minus cash.

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Is E.l.f. Beauty, Inc. cheap or expensive?

That depends on the current price. Look it up, enter it in the tool and get the full valuation verdict (P/E against its sector).

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Frequently asked questions

Is E.l.f. Beauty, Inc. a good company to invest in?

In terms of business quality, E.l.f. Beauty, Inc. scores 69 out of 100 in our analysis, placing it as a company of reasonable quality. That said, this isn't a recommendation: whether it's a good investment also depends on its current price and your goals.

Is E.l.f. Beauty, Inc. a profitable company?

E.l.f. Beauty, Inc. is profitable, with a net margin of 1.6%, though a thin one.

Does E.l.f. Beauty, Inc. have a lot of debt?

Yes, its leverage is high: net debt is 3.61 times its EBITDA, and it has been rising.

Is E.l.f. Beauty, Inc. growing?

Its revenue has grown 38.8% annualized in recent years and its earnings per share 29.7%, and without interruption since 2021.

Does E.l.f. Beauty, Inc. generate cash?

Yes. It converts about 11.6% of its revenue into free cash flow, and has done so positively year after year.

The thresholds are general and the system doesn't judge qualitative factors. See the full methodology and use this analysis as a first filter, never as a final decision.

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