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 risk and potential of ELF as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than ELF and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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