ODD Stock Forecast & Price Target

ODDITY Tech Ltd demonstrated robust financial performance with online direct-to-consumer sales reaching $140.5 million, reflecting a 27.5% year-over-year increase, and total revenue growing 24.3% year-over-year to $147.9 million, surpassing consensus expectations. The company also reported impressive gross margins of 71.6%, which increased by 2.4% year-over-year, and raised its FY25 gross margin guidance to approximately 72.5%. Additionally, ODDITY's management provided an upgraded adjusted diluted EPS guidance of $2.10 - $2.12, alongside increased FY25 revenue and adjusted EBITDA projections, signaling confidence in future performance.

ODDITY Tech Ltd reported a significant drop in total revenue of 38.7% quarter-over-quarter, amounting to $147.9 million, which was slightly above consensus estimates but highlights a concerning trend in sales. The adjusted EBITDA margin of 19.5% reflects a year-over-year decline of 6.4%, indicating potential challenges in maintaining profitability, while operating income fell by 11.1% year-over-year despite exceeding estimates. Additionally, competitive pressures in the beauty market, combined with potential risks from digital privacy initiatives and the delayed introduction of new products, contribute to a negative outlook on the company's future performance.