One of the most affordable makeup brands on the market, e.l.f., was founded in 2004 in Oakland, California with the goal of “selling premium cosmetics” for only a dollar. Through the 2010 era of YouTube beauty gurus like Bethany Mota, the popularity of the brand skyrocketed as tweens and teens jumped to get their hands on all the products they could at an extremely reasonable price point. While it seems that selling makeup at such a low price would not be profitable, the widespread adoration of their items over the past 15+ years has now made them a multi-million dollar company.
For those who want to dip their feet in the stock market pool, investing in e.l.f is a good place to start, considering the relatively low share cost which is currently at $36.73. “Mad Money” host Jim Cramer shared his investment picks for the week, saying that he recommends investing in e.l.f over the French-American beauty manufacturing company, Coty. The Nasdaq Stock Market shared that “the stock hit a new 52-week high of $38.17” and “the stock has a great record of positive earnings surprises, as it hasn’t missed our earnings consensus estimate in any of the last four quarters.” Ultimately, shareholders are expected to earn “$0.87 per share on $456.97 million in revenues,” with the company making over a million dollars in profit annually.
E.l.f., which stands for “eyes, lips, face,” sells over 300 products in their American and international stores, as well as online through their own website, Amazon, Target, Ulta, and more. The brand has expanded over time to meet the demands of the masses, creating not only makeup products, but also skincare items such as toner, serums, face creams, and exfoliants, at a slightly increased price to reflect the high quality of the products. The massive corporation J.P. Morgan, which also owns a majority of shares in the beauty brand, predicts that the price of e.l.f shares will continue to increase, and those interested should invest now so that they will subsequently make more profit in the near future.