Laser Focus World is an industry bedrock—first published in 1965 and still going strong. We publish original articles about cutting-edge advances in lasers, optics, photonics, sensors, and quantum technologies, as well as test and measurement, and the shift currently underway to usher in the photonic integrated circuits, optical interconnects, and copackaged electronics and photonics to deliver the speed and efficiency essential for data centers of the future.

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Editorial Advisory Board

  • Professor Andrea M. Armani, University of Southern California
  • Ruti Ben-Shlomi, Ph.D., LightSolver
  • James Butler, Ph.D., Hamamatsu
  • Natalie Fardian-Melamed, Ph.D., Columbia University
  • Justin Sigley, Ph.D., AmeriCOM
  • Professor Birgit Stiller, Max Planck Institute for the Science of Light, and Leibniz University of Hannover
  • Professor Stephen Sweeney, University of Glasgow
  • Mohan Wang, Ph.D., University of Oxford
  • Professor Xuchen Wang, Harbin Engineering University
  • Professor Stefan Witte, Delft University of Technology

Personal Care Stocks Q2 Results: Benchmarking Herbalife (NYSE:HLF)

HLF Cover Image

Looking back on personal care stocks’ Q2 earnings, we examine this quarter’s best and worst performers, including Herbalife (NYSE: HLF) and its peers.

While personal care products products may seem more discretionary than food, consumers tend to maintain or even boost their spending on the category during tough times. This phenomenon is known as "the lipstick effect" by economists, which states that consumers still want some semblance of affordable luxuries like beauty and wellness when the economy is sputtering. Consumer tastes are constantly changing, and personal care companies are currently responding to the public’s increased desire for ethically produced goods by featuring natural ingredients in their products.

The 12 personal care stocks we track reported a satisfactory Q2. As a group, revenues beat analysts’ consensus estimates by 1.7% while next quarter’s revenue guidance was 6.9% below.

In light of this news, share prices of the companies have held steady as they are up 4.1% on average since the latest earnings results.

Herbalife (NYSE: HLF)

With the first products sold out of the trunk of the founder’s car, Herbalife (NYSE: HLF) today offers a portfolio of shakes, supplements, personal care products, and weight management programs to help customers reach their nutritional and fitness goals.

Herbalife reported revenues of $1.26 billion, down 1.7% year on year. This print fell short of analysts’ expectations by 1%. Overall, it was a mixed quarter for the company with a solid beat of analysts’ EBITDA estimates but a significant miss of analysts’ gross margin estimates.

Herbalife Total Revenue

Interestingly, the stock is up 5.8% since reporting and currently trades at $9.80.

Is now the time to buy Herbalife? Access our full analysis of the earnings results here, it’s free.

Best Q2: USANA (NYSE: USNA)

Going to market with a direct selling model rather than through traditional retailers, USANA Health Sciences (NYSE: USNA) manufactures and sells nutritional, personal care, and skincare products.

USANA reported revenues of $235.8 million, up 10.8% year on year, outperforming analysts’ expectations by 4.7%. The business had an exceptional quarter with a solid beat of analysts’ EBITDA estimates and a beat of analysts’ EPS estimates.

USANA Total Revenue

USANA achieved the fastest revenue growth among its peers. The market seems content with the results as the stock is up 1.2% since reporting. It currently trades at $31.91.

Is now the time to buy USANA? Access our full analysis of the earnings results here, it’s free.

Weakest Q2: Edgewell Personal Care (NYSE: EPC)

Boasting brands such as Banana Boat, Schick, and Skintimate, Edgewell Personal Care (NYSE: EPC) sells personal care products in the skin and sun care, shave, and feminine care categories.

Edgewell Personal Care reported revenues of $627.2 million, down 3.2% year on year, falling short of analysts’ expectations by 4.2%. It was a disappointing quarter as it posted a significant miss of analysts’ organic revenue estimates and a significant miss of analysts’ EBITDA estimates.

Edgewell Personal Care delivered the weakest performance against analyst estimates in the group. As expected, the stock is down 4% since the results and currently trades at $24.02.

Read our full analysis of Edgewell Personal Care’s results here.

e.l.f. Beauty (NYSE: ELF)

Short for "eyes, lips, face", e.l.f. Beauty (NYSE: ELF) is a developer of high-quality beauty products at accessible price points.

e.l.f. Beauty reported revenues of $353.7 million, up 9% year on year. This number was in line with analysts’ expectations. Taking a step back, it was a mixed quarter as it also logged an impressive beat of analysts’ EBITDA estimates but revenue guidance for next quarter missing analysts’ expectations significantly.

The stock is up 13.5% since reporting and currently trades at $125.26.

Read our full, actionable report on e.l.f. Beauty here, it’s free.

BeautyHealth (NASDAQ: SKIN)

Operating in the emerging beauty health category, the appropriately named BeautyHealth (NASDAQ: SKIN) is a skincare company best known for its Hydrafacial product that cleanses and hydrates skin.

BeautyHealth reported revenues of $78.19 million, down 13.7% year on year. This result beat analysts’ expectations by 4.6%. Overall, it was a very strong quarter as it also produced a beat of analysts’ EPS estimates and an impressive beat of analysts’ EBITDA estimates.

The stock is up 30% since reporting and currently trades at $2.08.

Read our full, actionable report on BeautyHealth here, it’s free.

Market Update

Thanks to the Fed’s series of rate hikes in 2022 and 2023, inflation has cooled significantly from its post-pandemic highs, drawing closer to the 2% goal. This disinflation has occurred without severely impacting economic growth, suggesting the success of a soft landing. The stock market thrived in 2024, spurred by recent rate cuts (0.5% in September and 0.25% in November), and a notable surge followed Donald Trump’s presidential election win in November, propelling indices to historic highs. Nonetheless, the outlook for 2025 remains clouded by potential trade policy changes and corporate tax discussions, which could impact business confidence and growth. The path forward holds both optimism and caution as new policies take shape.

Want to invest in winners with rock-solid fundamentals? Check out our Strong Momentum Stocks and add them to your watchlist. These companies are poised for growth regardless of the political or macroeconomic climate.

StockStory is growing and hiring equity analyst and marketing roles. Are you a 0 to 1 builder passionate about the markets and AI? See the open roles here.

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