Oddity Tech (NASDAQ:ODD) stock is taking a beating on Tuesday after the consumer tech company's shares were hit hard by a short report from Ningi Research. The short report from Ningi Research highlights a few alleged problems that the firm has with Oddity Tech. That includes its claims of being an online-only retailer. Ningi Research denies this by saying that the company operates a fleet of physical retail locations. Ningi Research alledges that Oddity Tech actually operates more than 40 physical retail l ...

Shares of Oddity Tech (ODD) have gained 25.3% over the past four weeks to close the last trading session at $40.99, but there could still be a solid upside left in the stock if short-term price targets of Wall Street analysts are any indication. Going by the price targets, the mean estimate of $52 indicates a potential upside of 26.9%. The average comprises eight short-term price targets ranging from a low of $42 to a high of $66, with a standard deviation of $8.02. While the lowest estimate indicates an in ...

Core Viewpoint - A short seller, Ningi Research, has accused Oddity Tech of misleading investors regarding its business model, claiming it is not solely an online retailer as advertised [1][4]. Company Allegations - Ningi Research published a report alleging that Oddity Tech operates over 40 physical stores in Israel, contradicting its claim of being a purely digital retailer [4]. - The report suggests that the majority of Oddity's profits are derived from its operations in Israel rather than the U.S. market [4]. - Ningi Research claims that Oddity's growth is significantly driven by subscription models that are difficult for consumers to cancel, leading to inflated repeat purchase rates [5]. Customer Complaints - The report highlights numerous complaints from customers regarding deceptive billing practices, with many alleging wrongful charges [6]. - Oddity's CEO, Oran Holtzman, acknowledged that a small percentage of customers may experience confusion regarding pre-authorizations related to their "Try before you buy" option [7][8]. - Holtzman stated that the company has invested in technology to educate users about its billing practices and improve customer experience [8]. Market Reaction - Following the allegations, Oddity's shares fell over 12% in premarket trading, indicating a negative market reaction to the news [3].

Vertigo3d Oddity Tech (NASDAQ:ODD) is a consumer tech company that sells beauty products using a DTC model by leveraging machine learning, AI and other technologies. The company, which IPO'd in 2023 at $35 and is headquartered in Israel, is not only attractive because of its strategy to disrupt the behemoth beauty industry, but can also boast a promising valuation coupled with an impressive record of growth. Beauty + AI + Data = Money? On initial inspection of Oddity, it might appear unclear whether it is a ...

Current-Year Estimate Revisions For the full year, the earnings estimate of $1.62 per share represents a change of +23.66% from the year-ago number. Current-Quarter Estimate Revisions Oddity Tech (ODD) appears an attractive pick given a noticeable improvement in the company's earnings outlook. The stock has been a strong performer lately, and the momentum might continue with analysts still raising their earnings estimates for the company. The upward trend in estimate revisions for this online retailer of co ...

Financial Data and Key Metrics Changes - The company achieved a net revenue growth of 28% to $212 million in Q1 2024, compared to the same quarter last year, which had an 80% growth rate [31][36][53] - Gross margin expanded to 73.8%, an increase of 284 basis points, driven by supply chain and logistics efficiency [37] - Adjusted EBITDA was $48 million, with a margin of 22.7%, reflecting a 559 basis point increase from the prior year [37] - The company generated $79 million in free cash flow and exited the quarter with $252 million in cash and equivalents, with zero debt [37][56] Business Line Data and Key Metrics Changes - Both IL MAKIAGE and SpoiledChild contributed to revenue growth, with IL MAKIAGE's skin line expected to grow from 20% to 25% of brand revenue in 2024 [33][36] - The company reported that repeat purchases accounted for over half of sales last year, indicating strong customer loyalty and retention [34][82] Market Data and Key Metrics Changes - The company operates in a large total addressable market (TAM) that is still dominated by offline competitors, providing significant growth opportunities [33] - The online beauty market is transforming, with a shift towards science-backed products, which the company is strategically investing in [55] Company Strategy and Development Direction - The company is focused on long-term growth with a strategy to maintain over 20% revenue growth and 20% adjusted EBITDA margin [61] - Investments are being made in new brands (Brand 3 and Brand 4) and ODDITY LABS to enhance product efficacy and expand the product portfolio [41][61] - The company emphasizes a data-driven approach to customer acquisition and retention, which differentiates it from competitors [87] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to continue growing despite a challenging consumer environment, noting no signs of slowing in user acquisition or behavior [21][55] - The company is proactively managing growth to avoid over-delivery on revenue and profit objectives, indicating a disciplined approach to scaling [38][67] Other Important Information - The company has a unique business model that allows for efficient scaling, with a focus on repeat purchases and cross-selling across brands [34][82] - The company is building a robust infrastructure for ODDITY LABS, focusing on high efficacy and safety protocols for future product launches [41] Q&A Session Summary Question: Insights on LABS and commercialization timeline - Management indicated that ODDITY LABS is focused on developing higher efficacy molecules and will not launch products until efficacy and safety are 100% assured [41] Question: Gross margin expectations for the back half of the year - Management explained that gross margins are not a primary KPI; instead, they focus on contribution margins and are confident in achieving their gross margin targets [9][61] Question: Return rates and consumer behavior in a tougher environment - Management reported no uptick in return rates, indicating strong customer retention and acquisition metrics despite a challenging consumer environment [21][23] Question: Marketing strategy and user acquisition - The company highlighted a favorable acquisition environment and a data-driven approach that allows for efficient user acquisition without damaging margins [87]

and growth and other data about the Company's industry and estimated total addressable market. This data involves a number of assumptions and limitations, and you are cautioned not to give undue weight to such estimates. Neither the Company nor any other person makes any representation as to the accuracy or completeness of such data or undertakes any obligation to update such data after the date of this presentation. In addition, projections, assumptions, and estimates of our future performance and the futu ...

Oddity Tech (ODD) came out with quarterly earnings of $0.61 per share, beating the Zacks Consensus Estimate of $0.49 per share. This compares to earnings of $0.38 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 24.49%. A quarter ago, it was expected that this online retailer of cosmetics and beauty products would post earnings of $0.12 per share when it actually produced earnings of $0.17, delivering a surprise of 41.67%.Over ...

As Ulta Beauty says it expects a slowdown in retail's most resilient category, an upstart says it's bucking the trend. Oddity Tech – the newly public Israeli cosmetics platform that uses AI to develop products — posted first quarter results that blew past expectations and raised its full-year guidance. Here's how the beauty retailer behind the Il Makiage and Spoiled Child brands performed compared with what Wall Street was anticipating, based on a survey of analysts by LSEG:Earnings per share: 61 cents adju ...

2 BRAND 6 Note: 1. Adjusted EBITDA is a supplemental measure of our performance that is not required by, or presented in accordance with, GAAP. Adjusted EBITDA should not be considered as an alternative to net income or any other performance measure presented in accordance with GAAP. Refer to the Appendix for a reconciliation of Adjusted EBITDA to net income. 2. Adjusted EBITDA margin is defined as Adjusted EBITDA divided by net revenue. Refer to the Appendix for a reconciliation of Adjusted EBITDA margin t ...