ELF BEAUTY INC (ELF) Stock Fundamental Analysis
NYSE:ELF - New York Stock Exchange, Inc. - US26856L1035 - Common Stock - Currency: USD
We assign a fundamental rating of 6 out of 10 to ELF. ELF was compared to 35 industry peers in the Personal Care Products industry. ELF scores excellent points on both the profitability and health parts. This is a solid base for a good stock. ELF is valued quite expensive, but it does show an excellent growth. With these ratings, ELF could be worth investigating further for growth and quality investing!.
1. Profitability
1.1 Basic Checks
ELF had positive earnings in the past year.
ELF had a positive operating cash flow in the past year.
In the past 5 years ELF has always been profitable.
Each year in the past 5 years ELF had a positive operating cash flow.
1.2 Ratios
With a decent Return On Assets value of 8.98%, ELF is doing good in the industry, outperforming 74.29% of the companies in the same industry.
ELF has a Return On Equity of 14.73%. This is in the better half of the industry: ELF outperforms 80.00% of its industry peers.
ELF's Return On Invested Capital of 12.36% is fine compared to the rest of the industry. ELF outperforms 74.29% of its industry peers.
ELF had an Average Return On Invested Capital over the past 3 years of 13.06%. This is below the industry average of 15.14%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.98% | ||
| ROE | 14.73% | ||
| ROIC | 12.36% |
ROA(3y)10.2%
ROA(5y)7.26%
ROE(3y)16.52%
ROE(5y)11.77%
ROIC(3y)13.06%
ROIC(5y)9.49%
1.3 Margins
Looking at the Profit Margin, with a value of 8.53%, ELF is in the better half of the industry, outperforming 80.00% of the companies in the same industry.
In the last couple of years the Profit Margin of ELF has grown nicely.
The Operating Margin of ELF (12.03%) is better than 71.43% of its industry peers.
ELF's Operating Margin has improved in the last couple of years.
ELF has a Gross Margin of 71.24%. This is in the better half of the industry: ELF outperforms 68.57% of its industry peers.
ELF's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.03% | ||
| PM (TTM) | 8.53% | ||
| GM | 71.24% |
OM growth 3Y16.55%
OM growth 5Y7.24%
PM growth 3Y15.36%
PM growth 5Y6.17%
GM growth 3Y3.54%
GM growth 5Y2.16%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), ELF is creating some value.
Compared to 1 year ago, ELF has more shares outstanding
The number of shares outstanding for ELF has been increased compared to 5 years ago.
ELF has a better debt/assets ratio than last year.
2.2 Solvency
ELF has an Altman-Z score of 10.71. This indicates that ELF is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of ELF (10.71) is better than 94.29% of its industry peers.
The Debt to FCF ratio of ELF is 2.23, which is a good value as it means it would take ELF, 2.23 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 2.23, ELF is in the better half of the industry, outperforming 77.14% of the companies in the same industry.
A Debt/Equity ratio of 0.34 indicates that ELF is not too dependend on debt financing.
With a Debt to Equity ratio value of 0.34, ELF perfoms like the industry average, outperforming 45.71% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | 2.23 | ||
| Altman-Z | 10.71 |
ROIC/WACC1.4
WACC8.86%
2.3 Liquidity
ELF has a Current Ratio of 3.05. This indicates that ELF is financially healthy and has no problem in meeting its short term obligations.
ELF's Current ratio of 3.05 is fine compared to the rest of the industry. ELF outperforms 77.14% of its industry peers.
ELF has a Quick Ratio of 2.00. This is a normal value and indicates that ELF is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 2.00, ELF is in the better half of the industry, outperforming 77.14% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.05 | ||
| Quick Ratio | 2 |
3. Growth
3.1 Past
ELF shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 6.27%.
ELF shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 40.01% yearly.
The Revenue has grown by 28.28% in the past year. This is a very strong growth!
Measured over the past years, ELF shows a very strong growth in Revenue. The Revenue has been growing by 35.94% on average per year.
EPS 1Y (TTM)6.27%
EPS 3Y58.58%
EPS 5Y40.01%
EPS Q2Q%47.17%
Revenue 1Y (TTM)28.28%
Revenue growth 3Y49.62%
Revenue growth 5Y35.94%
Sales Q2Q%3.58%
3.2 Future
Based on estimates for the next years, ELF will show a quite strong growth in Earnings Per Share. The EPS will grow by 16.73% on average per year.
ELF is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 13.47% yearly.
EPS Next Y8.69%
EPS Next 2Y13.64%
EPS Next 3Y15.37%
EPS Next 5Y16.73%
Revenue Next Year21.73%
Revenue Next 2Y18.72%
Revenue Next 3Y18.57%
Revenue Next 5Y13.47%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 38.64, which means the current valuation is very expensive for ELF.
The rest of the industry has a similar Price/Earnings ratio as ELF.
ELF's Price/Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 27.45.
Based on the Price/Forward Earnings ratio of 35.55, the valuation of ELF can be described as expensive.
Compared to the rest of the industry, the Price/Forward Earnings ratio of ELF is on the same level as its industry peers.
The average S&P500 Price/Forward Earnings ratio is at 21.90. ELF is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 38.64 | ||
| Fwd PE | 35.55 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as ELF.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of ELF is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 64.06 | ||
| EV/EBITDA | 37.08 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of ELF may justify a higher PE ratio.
A more expensive valuation may be justified as ELF's earnings are expected to grow with 15.37% in the coming years.
PEG (NY)4.45
PEG (5Y)0.97
EPS Next 2Y13.64%
EPS Next 3Y15.37%
5. Dividend
5.1 Amount
No dividends for ELF!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
130.98
+1.5 (+1.16%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupHousehold & Personal Products
GICS IndustryPersonal Care Products
Earnings (Last)
Earnings (Next)
Inst Owners109.6%
Inst Owner Change-0.8%
Ins Owners3.14%
Ins Owner Change0.18%
Market Cap7.39B
Analysts81
Price Target127.46 (-2.69%)
Short Float %12.26%
Short Ratio2.53
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)2.78%
Min EPS beat(2)-1.78%
Max EPS beat(2)7.34%
EPS beat(4)3
Avg EPS beat(4)28.63%
Min EPS beat(4)-1.78%
Max EPS beat(4)79.25%
EPS beat(8)7
Avg EPS beat(8)44.59%
EPS beat(12)11
Avg EPS beat(12)63.36%
EPS beat(16)15
Avg EPS beat(16)66.49%
Revenue beat(2)2
Avg Revenue beat(2)3.64%
Min Revenue beat(2)0.57%
Max Revenue beat(2)6.71%
Revenue beat(4)4
Avg Revenue beat(4)4.26%
Min Revenue beat(4)0.57%
Max Revenue beat(4)6.71%
Revenue beat(8)8
Avg Revenue beat(8)7.83%
Revenue beat(12)12
Avg Revenue beat(12)10.65%
Revenue beat(16)16
Avg Revenue beat(16)10.88%
PT rev (1m)47.74%
PT rev (3m)34.44%
EPS NQ rev (1m)-14.07%
EPS NQ rev (3m)-14.89%
EPS NY rev (1m)6.75%
EPS NY rev (3m)-0.24%
Revenue NQ rev (1m)-1.54%
Revenue NQ rev (3m)-2%
Revenue NY rev (1m)9.91%
Revenue NY rev (3m)9.76%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 38.64 | ||
| Fwd PE | 35.55 | ||
| P/S | 5.62 | ||
| P/FCF | 64.06 | ||
| P/OCF | 55.19 | ||
| P/B | 9.71 | ||
| P/tB | 34.75 | ||
| EV/EBITDA | 37.08 |
EPS(TTM)3.39
EY2.59%
EPS(NY)3.68
Fwd EY2.81%
FCF(TTM)2.04
FCFY1.56%
OCF(TTM)2.37
OCFY1.81%
SpS23.29
BVpS13.49
TBVpS3.77
PEG (NY)4.45
PEG (5Y)0.97
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.98% | ||
| ROE | 14.73% | ||
| ROCE | 14.75% | ||
| ROIC | 12.36% | ||
| ROICexc | 14.36% | ||
| ROICexgc | 35.39% | ||
| OM | 12.03% | ||
| PM (TTM) | 8.53% | ||
| GM | 71.24% | ||
| FCFM | 8.78% |
ROA(3y)10.2%
ROA(5y)7.26%
ROE(3y)16.52%
ROE(5y)11.77%
ROIC(3y)13.06%
ROIC(5y)9.49%
ROICexc(3y)15.77%
ROICexc(5y)11.32%
ROICexgc(3y)54.81%
ROICexgc(5y)39%
ROCE(3y)15.59%
ROCE(5y)11.32%
ROICexcg growth 3Y22.09%
ROICexcg growth 5Y7.64%
ROICexc growth 3Y30.46%
ROICexc growth 5Y20.49%
OM growth 3Y16.55%
OM growth 5Y7.24%
PM growth 3Y15.36%
PM growth 5Y6.17%
GM growth 3Y3.54%
GM growth 5Y2.16%
F-Score7
Asset Turnover1.05
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | 2.23 | ||
| Debt/EBITDA | 1.27 | ||
| Cap/Depr | 41.98% | ||
| Cap/Sales | 1.41% | ||
| Interest Coverage | 10.09 | ||
| Cash Conversion | 66.21% | ||
| Profit Quality | 102.88% | ||
| Current Ratio | 3.05 | ||
| Quick Ratio | 2 | ||
| Altman-Z | 10.71 |
F-Score7
WACC8.86%
ROIC/WACC1.4
Cap/Depr(3y)24.58%
Cap/Depr(5y)23.45%
Cap/Sales(3y)0.85%
Cap/Sales(5y)1.16%
Profit Quality(3y)104.92%
Profit Quality(5y)150.63%
High Growth Momentum
Growth
EPS 1Y (TTM)6.27%
EPS 3Y58.58%
EPS 5Y40.01%
EPS Q2Q%47.17%
EPS Next Y8.69%
EPS Next 2Y13.64%
EPS Next 3Y15.37%
EPS Next 5Y16.73%
Revenue 1Y (TTM)28.28%
Revenue growth 3Y49.62%
Revenue growth 5Y35.94%
Sales Q2Q%3.58%
Revenue Next Year21.73%
Revenue Next 2Y18.72%
Revenue Next 3Y18.57%
Revenue Next 5Y13.47%
EBIT growth 1Y5.58%
EBIT growth 3Y74.38%
EBIT growth 5Y45.78%
EBIT Next Year28.86%
EBIT Next 3Y28.18%
EBIT Next 5Y21.48%
FCF growth 1Y84.53%
FCF growth 3Y98.7%
FCF growth 5Y27%
OCF growth 1Y88.1%
OCF growth 3Y90.04%
OCF growth 5Y24.75%