News        Sectors        Watchlists

e.l.f. Beauty, Inc. (ELF)

e.l.f. Beauty stock forecast: buy or sell

Close on Sep 25th, 2020
$18.32 0.00%
3 months performance
0.00%
Published: September 27th, 2020 - 19:59

e.l.f. Beauty stock outlook

  • Counting on Friday, it's been 3 consecutive sessions in negative for e.l.f. Beauty. Price closed on Friday at $18.32 after slightly moving a -0.49%.
  • E.l.f. Beauty, Inc., through its subsidiaries, provides cosmetic and skin care products under the e.l.f. and W3LL PEOPLE brand names worldwide.

Please read:
The thoughts expressed in this post are personal and should not be followed as recommendations for you to buy or sell shares. The author of this article does not have any knowledge of the specific situations of the reader, his or her own finances or what is in his or her best interest at any given time. All users should speak with their financial advisor before buying or selling any securities Comments are posted for general educational motives only

e.l.f. Beauty stock charts

Should I buy e.l.f. Beauty stock?

All successful traders recommend adhering to a trading strategy and not make decisions based on subjective opinions, rumors or feelings. Trading strategies are meant for helping you in the decision process of what stocks to pick and when is the best moment to buy them. At Stocks2.com, we like to use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best

Is ELF stock a buy?

Currently, e.l.f. Beauty stock doesn't match any of these trading strategies, so our recommendation is not to buy now. This doesn't mean we expect a selloff for ELF in the next few days, or that it may not rise higher. Simply, it doesn't match our recommended trading systems

Should I sell e.l.f. Beauty stock?

When you are a novel trader and you own a stock with some profit, it's really hard to decide the good moment to sell and get your benefits. Trading strategies let us to avoid impetuous decisions based on our personal feelings or the buzz that surrounds the market. When selling, as well as buying, detailed strategies are very easy to use and are only valid for selling stocks in your porfolio, not for selling short ELF stock

A golden rule is that you should never hold an open trade that generates higher than expected losses upon the buy. The timing to sell your stock always has to be dictated by the stop-loss (automatic or manual)

Is it time to sell e.l.f. Beauty stock?

Currently, e.l.f. Beauty stock doesn't match any of our preferred sell setups, so if you own e.l.f. Beauty shares and your operation is in profit probably is not time to sell now

Analysts' recommendations to buy or sell e.l.f. Beauty stock

Brokerage firms and financial institutions post stock ratings based on their views of the market and the fundamental and technical situation of the analyzed stock. Unfortunately, the accuracy of these predictions is not very high, and certainly not a direct buy or sell signal

We don't have any rating published in the previous month for e.l.f. Beauty

Technical analysis

SMAs overview

A favorite tool of many trading systems are the moving averages, that easily show market direction. A moving average is the average price of a stock over a set period of time. Moving averages are usually calculated on different periods depending on the trading timeframe 21, 50, 100 and 200 days are the most usual moving averages. You can found more about Moving Averages from sources like Wikipedia and Investopedia

ELF SMAs chart

Supports and resistances

Traders use supports and resistances to find price points in the stock price action that may behave as obstacles, containing the price of a stock to move up or down. A support level is a level where the price may stop as it falls. Price is more likely to "bounce off" this level rather than break through it. Nevertheless, if the price breaks down this level, it will probably continue falling until finding another support level. On the other hand, resistances are where the price may find opposition as it moves up. In the same way, the price is more likely to "rebound" at this level, and if it finally crosses this level, the price will climb easily until it approaches the next resistance

The current resistance levels are:

  • R1: $18.72 (2.18% above)
  • R2: $18.89 (3.11% above)
  • R3: $19.08 (4.15% above)
  • The current support levels are:

  • S1: $17.37 (-5.19% below)
  • S2: $17.35 (-5.29% below)
  • S3: $17.32 (-5.46% below)
  • Bollinger bands

    So-called Bollinger bands are a widely known practice designed by John Bollinger. By essence, the Bollinger Bands are lines that move around a moving average and vary the distance from the bottom to the top depending on market volatility. They are usually drawn by an interval of two standard deviations, above and below, from a moving average line. Bollinger himself recommends the moving average period to be 20

    Since the price broke down the lower band on September 16, the price has bounced up by 4.81%

    ELF RSI chart

    Relative strength index

    The relative strength index (RSI) is a technical indicator used in the analysis of stock markets. It is intended to plot the current and historical weakness or strength of a stock or market based on the closing prices of a recent trading period. Like other oscillation indicators, the RSI fluctuates from 0% to 100%. The relative strength indicator is one of the best known and most widely used indicators, invented by J. Welles Wilder in 1978

    The RSI has been between the overbought and oversold zones for many weeks, and therefore, without this indicator really serving to help us make any decisions.

    ELF RSI chart

    Earnings and financials

    Q2 shareholders call was hosted by e.l.f. Beauty in early August after posting the earnings report. E.l.f. Beauty posted Q2 earnings of $0.17 per share on sales of $64.5 million. The analysts estimate was $0.04 per share on revenue of $52.1 million.

    Compared to the same quarter last year, EPS was $0.14, so posted EPS is a improvement of 21.43%. Looking at turnover, figures went up a 7.97% compared to $59.8M same quarter a year ago.

    E.l.f. Beauty is hosting the quarterly earnings call on early next November. Expected per-share earnings of %s for this quarter is $0.11. Earnings reporting day has a more than usual risk for stock traders as the results disclosed can jump up or down the shares price with very low volume and not respecting your buy or stop-loss orders. Have a look company's website to confirm time and details about the earnings call and the earnings report.

    ELF revenues and profits chart