e.l.f. Beauty Inc. (ELF) saw its stock soar 5.06% in pre-market trading on Friday, following a notable upgrade from Deutsche Bank. This positive movement comes as a rebound after the stock experienced a significant 9.5% decline on Thursday in the wake of the company's FY1Q26 results.
Deutsche Bank raised its rating on e.l.f. Beauty from "hold" to "buy," citing an "attractive entry point" for investors. The bank's analysts believe that despite the recent downturn, the stock now presents a "compelling 20%+ potential upside." This upgrade appears to have reignited investor interest in the beauty company, driving the pre-market rally.
The swift market reaction to Deutsche Bank's upgrade underscores the influence of analyst opinions on stock performance, especially in the volatile beauty and personal care sector. Investors will be closely watching e.l.f. Beauty's performance in the coming trading sessions to see if this pre-market surge translates into sustained gains.
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