TD Cowens Cuts Target on e.l.f. Beauty (ELF) to $100

Core Viewpoint - e.l.f. Beauty Inc. is identified as a high-risk, high-reward growth stock, with recent adjustments to its target price reflecting a cautious outlook on future revenue growth despite strong current performance [1][5]. Financial Performance - e.l.f. Beauty reported a 38% year-over-year growth in net sales for Q3-FY2026, primarily driven by the successful launch of its "rhode" brand, which contributed 36 percentage points to this growth [2]. - The remaining 2 percentage points of growth were attributed to price increases in existing product lines, indicating a lack of organic volume growth [2]. Future Guidance - The company has revised its full-year net sales guidance to a range of $1,600 million to $1,612 million, up from the initial outlook of $1,550 million to $1,570 million, representing an expected average growth of 18.0% to 19.5% year-over-year for the fiscal year [3]. - e.l.f. anticipates that the "rhode" brand will contribute approximately $260 million to $265 million in revenue [3].