In this article, we will discuss: 7 Best Beauty Stocks to Buy Right Now.
CNBC reported on January 10, 2026, that Gen Z men, social media, and changing perceptions of masculinity are driving the steadily growing men’s makeup market.
According to NielsenIQ, men’s grooming sales in the US jumped by 6.9% year over year to $7.1 billion in 2025. Based on Fortune Business Insights, the global industry was estimated to be worth $61.6 billion in 2024 and is projected to surpass $85 billion by 2032, with skin care leading the way. Mintel statistics show that 68% of Gen Z men in the United States between the ages of 18 and 27 used face skin care products in 2024, up from 42% two years prior.
Delphine Horvath of the Fashion Institute of Technology stated that men’s beauty is one of the few remaining areas where brands can expect to achieve easy double-digit growth. Meanwhile, influencer-led marketing and gender-neutral displays are becoming more popular among retailers. Linda Dang, CEO of Sukoshi, a leading beauty business in North America, stated that the main obstacle is uncertainty rather than price.
With that said, here are the 7 Best Beauty Stocks to Buy Right Now.
Our Methodology
We sifted through the online rankings to form an initial list of the 20 Best Beauty Stocks to Buy Right Now. From the resultant dataset, we chose the 7 Best Beauty Stocks with the highest number of hedge fund holders for each stock using Insider Monkey’s database of hedge funds as of Q3 2025. We also considered the analysts’ upside potential as of January 9. Finally, we ranked these stocks in ascending order based on hedge funds.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 427.7% since May 2014, beating its benchmark by 264 percentage points (see more details here).
7. Helen of Troy Limited (NASDAQ:HELE)
Number of Hedge Fund Holders: 17
Analysts’ Upside Potential as of January 9: 13.43%
Helen of Troy Limited (NASDAQ:HELE) is among the Best Beauty Stocks.
On January 9, 2026, TheFly reported that UBS had reduced its price objective for Helen of Troy Limited (NASDAQ:HELE) from $25 to $22 and retained a Neutral rating. The company released a third-quarter report that was better than anticipated, but a lower outlook suggests a difficult exit rate in the future, as noted by analyst Peter Grom.
Separately, on January 9, 2026, Canaccord retained a Hold rating and reduced its price target from $23 to $22. Helen of Troy Limited (NASDAQ:HELE) reported third-quarter results that showed further sequential growth, with revenues above expectations and adjusted earnings per share in line. Canaccord noted boosts in sales for a number of important brands, such as OXO, Osprey, and Olive & June. Notwithstanding these advantages, the firm stated that general issues still exist throughout the portfolio, putting pressure on sales in other categories and having a substantial impact on profitability.
The stock is down by 8.63% YTD as of January 12, 2026.
Helen of Troy Limited (NASDAQ:HELE) is a consumer products firm that provides creative products and solutions to its consumers through a diverse portfolio of brands.
6. Unilever PLC (NYSE:UL)
Number of Hedge Fund Holders: 27
Analysts’ Upside Potential as of January 9: 8.71%
Unilever PLC (NYSE:UL) is among the Best Beauty Stocks.
On January 8, 2026, TheFly reported that BNP Paribas had downgraded Unilever PLC (NYSE:UL) from Outperform to Neutral with a price target of $71. The firm stated that valuations in the consumer staples area are anticipated to stay “cheap.”
Separately, on January 7, 2026, Jefferies maintained its Underperform rating and lifted its price target for Unilever PLC (NYSE:UL) from 4,000 GBp to 4,100 GBp. As reported by Jefferies, price and operating margin challenges are limiting earnings growth, and valuation downside risk is still present. On February 12, the company anticipates that volume and mix will be approximately 2% in the fourth-quarter results. The potential impact of a declining U.S. growth contribution was identified by Jefferies as a concern to market confidence in the first half of 2026, along with anticipated volatility around FY26 operating margin dynamics.
The stock is down by 1.65% YTD as of January 9, 2026.
Unilever PLC (NYSE:UL) is a corporation that specializes in beauty, wellness, and personal care, home care, and packaged food.
5. Coty Inc. (NYSE:COTY)
Number of Hedge Fund Holders: 30
Analysts’ Upside Potential as of January 9: 45.19%
Coty Inc. (NYSE:COTY) is among the Best Beauty Stocks.
On December 19, 2025, Reuters reported that Coty Inc. (NYSE:COTY) had sold the remaining 25.8% of the hair care business Wella to KKR for $750 million. The corporation retains 45% of the proceeds from any future sale or IPO, after KKR’s preferred return is satisfied. The majority of the upfront funds will be used by the business to pay off debt. The transaction concludes a portfolio streamlining program that began in 2020. Earlier, the company began a strategic evaluation of its beauty division, which could result in sales of brands including CoverGirl and Rimmel.
Following the announcement of CEO Sue Nabi’s resignation, Evercore ISI downgraded Coty Inc. (NYSE:COTY) from Outperform to In Line with a $7 price target, as reported by TheFly on December 23, 2025. As stated by analyst Robert Ottenstein, the corporation’s investment thesis relied heavily on Nabi. Evercore claimed that despite the shares’ undervaluation, it is currently unable to see the timing and triggers for a possible value unlock. The firm forecasts that outperformance is unlikely and anticipates that the stock will continue to be cheap.
Coty Inc. (NYSE:COTY) was downgraded by Grupo Santander from Outperform to Neutral with a price target of $3.50. The CEO replacement may prolong the company’s “transition phase,” according to analyst Mariano Szachtman. Santander noted that one of the main reasons for the downgrade was the change in leadership. The firm also observed Evercore ISI downgraded Coty Inc. (NYSE:COTY) in response to the same news as mentioned above in detail.
Coty Inc. (NYSE:COTY) is a globally recognized beauty company that derives 65% of its revenue from premium beauty goods (mainly fragrances) and 35% from mass makeup, skin care, and fragrances.
4. Hims & Hers Health, Inc. (NYSE:HIMS)
Number of Hedge Fund Holders: 35
Analysts’ Upside Potential as of January 9: 26.09%
Hims & Hers Health, Inc. (NYSE:HIMS) is among the Best Beauty Stocks.
TheFly reported on January 8, 2026, that BofA reduced the price target for Hims & Hers Health, Inc. (NYSE:HIMS) to $29 from $32. It retained an Underperform rating on the stock. The firm claims that the consensus expectations for sales and EBITDA margins in 2026 are excessively high. It notes that 2026 will be Hims & Hers’ “big investment year” and that projections for an increase in EBITDA margin seem excessively optimistic. BofA expects negative earnings revisions in the upcoming months and risks of downside to 2026 revenue and EBITDA margins.
Citi reported on January 5, 2026, that the corporation was once more left off of Novo Nordisk’s partner list for the Wegovy weight loss pill’s U.S. launch. It also includes CVS Health, Costco, LifeMD, and GoodRx. This exclusion is possibly due to differences between Novo and the company’s compounded semaglutide strategy. In 2026, Citi forecasts that the Wegovy launch will put pressure on Hims & Hers Health, Inc. (NYSE:HIMS) GLP-1 business. The firm remains to have a $30 price target and a Sell rating. In the premarket, the stock was trading at $33.85, up $0.44.
Hims & Hers Health, Inc. (NYSE:HIMS) is one of the top telehealth firms in the United States.
3. e.l.f. Beauty, Inc. (NYSE:ELF)
Number of Hedge Fund Holders: 43
Analysts’ Upside Potential as of January 9: 36.55%
e.l.f. Beauty, Inc. (NYSE:ELF) is among the Best Beauty Stocks.
On December 22, 2025, TheFly reported that Piper Sandler reduced e.l.f. Beauty, Inc. (NYSE:ELF) price objective from $100 to $85 and retained a Neutral rating. According to the firm, the corporation’s market share increased in Q3 2026 after slowing down in Q2 2026. SPINS statistics through November 30 show that competition is intensifying, making innovation crucial in the segment.
Separately, TD Cowen reports on January 6, 2026, that e.l.f. Beauty, Inc. (NYSE:ELF)’s weekly sales are getting better, with a 17% year-over-year rise in the week. Sales trends grew on a two-year stack basis compared to the previous week. When compared to the previous reporting period, the company’s share gains increased to 70 basis points on a four-week basis. TD Cowen continues to rate the stock as a buy.
The stock is up by 13.38% YTD as of January 9, 2026.
In fiscal 2026, e.l.f. Beauty, Inc. (NYSE:ELF) anticipates annual costs of over $50 million due to rising import taxes in the United States. China accounts for around 75% of the cosmetics manufacturer’s global production, as per Reuters.
e.l.f. Beauty, Inc. (NYSE:ELF) is a multi-brand beauty firm that sells inclusive, affordable, clean, vegan, and cruelty-free cosmetics and skin care items.
2. Colgate-Palmolive Company (NYSE:CL)
Number of Hedge Fund Holders: 56
Analysts’ Upside Potential as of January 9: 8.56%
Colgate-Palmolive Company (NYSE:CL) is among the Best Beauty Stocks.
On January 8, 2026, TheFly reported that TD Cowen reduced Colgate-Palmolive Company (NYSE:CL)’s price target from $90 to $86 and maintained a Buy rating. TD Cowen’s projection for consumer staples in 2026 included the change. The corporation anticipates a difficult year for large-cap consumer staples, with pricing projected to stay restrained and volume growth unlikely to significantly improve from the negative 0.9% reported in 2025.
Separately, on January 7, 2026, Piper Sandler upgraded its price target from $82 to $88 and raised Colgate-Palmolive Company (NYSE:CL) from Neutral to Overweight. The firm observes that the shares are already priced for the ongoing Q4 decline. Piper forecasts that the company’s growth may pick up speed in 2026 due to early indications of growth in emerging markets. The firm stresses the corporation’s lower dependency on the US market due to its involvement in emerging markets and believes the company’s price is attractive if growth occurs.
Colgate-Palmolive Company (NYSE:CL) has emerged as a dominant leader in the household and personal care industries.
1. The Procter & Gamble Company (NYSE:PG)
Number of Hedge Fund Holders: 87
Analysts’ Upside Potential as of January 9: 15.95%
The Procter & Gamble Company (NYSE:PG) is among the Best Beauty Stocks.
On January 8, 2026, TheFly reported that Robert Moskow, a TD Cowen analyst, trimmed The Procter & Gamble Company (NYSE:PG)’s price objective from $168 to $150 and retained a buy rating. TD Cowen’s 2026 consumer staples projection included the adjustment. The firm anticipates that large-cap consumer staples will have difficulties in 2026. Volume growth is unlikely to increase significantly from -0.9% in 2025, and pricing is projected to stay muted.
Separately, Texas Attorney General Ken Paxton stated on January 8, 2026, that The Procter & Gamble Company (NYSE:PG) and Crest children’s toothpaste had reached a deal. As per the agreement, P&G will make sure that the appropriate amount of fluoride toothpaste for children is accurately depicted in marketing and packaging. The updated packaging went into effect on January 1, 2026. P&G must continue to comply for a period of five years. The deal comes after the Texas Attorney General’s office previously reached a settlement with Colgate about similar fluoride representation issues.
The Procter & Gamble Company (NYSE:PG) is one of the world’s largest consumer product makers, with annual revenues of roughly $85 billion, according to Morningstar.
While we acknowledge the potential of PG to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than PG and that has 100x upside potential, check out our report about this cheapest AI stock.
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Disclosure: None. 7 Best Beauty Stocks to Buy Right Now is originally published on Insider Monkey. Insider Monkey focuses on uncovering the best investment ideas of hedge funds and insiders. Please subscribe to our free daily e-newsletter to get the latest investment ideas from hedge funds’ investor letters by entering your email address below.
