Skip to main content

Market Overview

Elf Beauty Analyst Praises Platform's Use Of TikTok In Upgrade

Elf Beauty Analyst Praises Platform's Use Of TikTok In Upgrade

Since striking its nadir in 2019, e.l.f. Beauty Inc (NYSE: ELF) has more than doubled in share price. Analysts still see room for improvement.

The Elf Beauty Rating

Piper Sandler analysts Erinn Murphy and Eric Johnson upgraded e.l.f. to Overweight with a $19 price target.

The Elft Beauty Thesis

Piper Sandler sees something pretty in the e.l.f. story. Foremost is its TikTok marketing campaign.

“According to industry contacts, 40% of TikTok users last year did not have an Instagram Account,” Murphy and Johnson wrote in a report. “In other words, engaging with consumers on TikTok is highly incremental.”

Because of its TikTok integration, the industry looks to e.l.f. as a marketing success story. Piper Sandler was also impressed by e.l.f.’s portfolio expansion and segmentation, as well as its fourth-quarter gains in earned media value (EMV).

“From what we can see through Tribe Dynamics, ELF's earned media value during the December quarter was up 51% Y/Y — the fourth consecutive quarter of strong DD gains,” the analysts wrote, noting underestimation of EMV, which excludes TikTok metrics. “To put this in context, the most prominent trending cosmetics brands (a basket of 54 other brands) saw EMV decline an average of 21% Y/Y in Q4.”

They anticipate continued market share gains in the near term as the rest of the beauty industry falters.

ELF Price Action

At time of publication, shares traded up 6.1% at $17.30.

Related Links:

More Shelf Space At Target Turns DA Davidson Bullish On e.l.f. Beauty

Ulta Investors Pull Back As Amazon Enters Space

Latest Ratings for ELF

Apr 2021Morgan StanleyMaintainsOverweight
Apr 2021DA DavidsonReiteratesBuy
Mar 2021Piper SandlerUpgradesNeutralOverweight

View More Analyst Ratings for ELF
View the Latest Analyst Ratings


Related Articles (ELF)

View Comments and Join the Discussion!

Posted-In: Eric Johnson Erinn Murphy Instagram Piper SandlerAnalyst Color Upgrades Price Target Analyst Ratings Best of Benzinga

Latest Ratings

FIBKStephens & Co.Downgrades
LEAFCanaccord GenuityDowngrades8.5
AGMSidoti & Co.Downgrades115.0
KEXGabelli & Co.Downgrades
OCGNCantor FitzgeraldDowngrades11.0
View the Latest Analytics Ratings
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Premarket Activity
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Fintech Focus
A daily collection of all things fintech, interesting developments and market updates.
Everything you need to know about the latest SPAC news.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at