What Makes e.l.f. Beauty (ELF) Attractive

e.l.f. Beauty Inc. (NYSE:ELF) is one of the most promising mid-cap consumer staples stocks under $100.

On December 18, JPMorgan analyst Andrea Faria Teixeira reaffirmed her Overweight rating for e.l.f. Beauty Inc. (NYSE:ELF), as part of the firm’s 2026 outlook. The stock was subject to a downward revision to the target price, as Teixeira lowered the target from $137 to $103. Her estimates now yield over 18% upside potential at the current level.

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JPMorgan’s 2026 outlook remains favorable, backed by expectations of improved consumption patterns. Moreover, the firm believes that the added pressure from tariffs witnessed in 2025 will not be a hurdle for the coming year, which will facilitate profitability growth for companies. However, certain segments such as beverages, personal care, and household products will remain under pressure.

On January 6, Oliver Chen from TD Cowen also reiterated his optimism for e.l.f. Beauty Inc. (NYSE:ELF). He assigned a Buy rating based on encouraging sales figures reported by the company. He observed accelerated patterns in year-on-year and week-on-week sales growth on a one-week and two-year stack basis, respectively.

e.l.f. Beauty Inc. (NYSE:ELF) is a provider of beauty and skin care products that sells within and outside the United States through retail and e-commerce channels. They operate under various brand names such as e.l.f. Cosmetics, e.l.f. Skin, Well People, Naturium, and Keys Soulcare. Some of their offerings include skin-care products, lipsticks, blushes, bronzers, mineral-based makeup, eyeliners, brushes, and mascara.

While we acknowledge the potential of ELF as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.