02:43 PM EDT, 08/01/2025 (MT Newswires) -- E.l.f. Beauty's (ELF) setup into fiscal Q1 remains "somewhat tricky," UBS Securities said, citing slowing tracked trends, tariff uncertainty with China, and questions around whether the company will issue full-year guidance.

The brokerage said in a Thursday note it expects earnings of $0.78 per share for the quarter, about $0.06 below consensus, though it is modeling slightly higher revenue and earnings before interest, taxes, depreciation, and amortization

margins than the Street.

The quarter is typically a lighter earnings period for the company, UBS noted, and the rhode acquisition has yet to contribute to results.

While near-term visibility is limited, the brokerage sees scope for upside to sales expectations for the rest of the year, particularly as comparisons ease and growth from rhode picks up. Still, the firm said the fiscal 2026 guidance bar has shifted in recent weeks, and any outlook is likely to lean conservative if issued at all.

For the full year, UBS projects organic growth of 15.4% and EPS of $3.59, compared with consensus at $3.65. It also forecasts a 175-basis-point drop in operating margin to 18.2%, with profitability expected to stabilize in the back half as August price increases take effect.

The firm reiterated its price target of $120 per share and has a neutral rating on the stock.

Shares of the company were down nearly 5% in recent Friday trading.

Price: 115.25, Change: -5.94, Percent Change: -4.90