e.l.f.(US:ELF) The Motley Fool·2024-06-04 17:50Group 1 - e.l.f. Beauty's stock rose 15% in May following a positive surprise in its fiscal fourth-quarter results for 2024, despite earlier declines due to concerns over consumer spending [1][2] - The company expects approximately $1.2 billion in net sales for fiscal 2025, indicating a year-over-year growth rate of about 21%, which is a significant slowdown from the 77% growth in fiscal 2024 [3][4] - e.l.f. Beauty has nearly tripled its revenue in the last three years, making the projected 21% growth impressive in the context of its recent performance [4][5] Group 2 - Established competitors like Ulta Beauty are experiencing single-digit growth, highlighting e.l.f. Beauty's ability to capture market share despite a general slowdown in cosmetic spending [5][6] - The company's success is attributed to effective viral social-media marketing, raising questions about the sustainability of its growth and whether competitors could replicate its success [7][8] - e.l.f. Beauty's stock valuation is considered high compared to Ulta Beauty, which has seen its valuation drop to more reasonable levels, suggesting a potential investment consideration based on growth sustainability [8][9]