ODDITY Tech (NASDAQ:ODD – Get Free Report) announced its quarterly earnings data on Wednesday. The company reported $0.20 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.12 by $0.08, FiscalAI reports. The firm had revenue of $180.52 million during the quarter, compared to analysts’ expectations of $178.23 million. ODDITY Tech had a net margin of 6.97% and a return on equity of 15.38%. The company’s revenue for the quarter was down 24.9% compared to the same quarter last year. During the same period in the prior year, the company posted $0.92 earnings per share.
Here are the key takeaways from ODDITY Tech’s conference call:
- IL MAKIAGE’s advertising algorithm disruption continued to weigh heavily on results. Q2 revenue fell 25% year over year to $181 million, with first-order revenue down approximately 40%, repeat-order revenue down 20%, and AOV down 8%.
- Management expects sequential improvement, guiding for Q3 revenue to decline approximately 5% year over year versus a 25% decline in Q2, and believes the worst of the acquisition-driven pressure is behind the company. Full-year revenue is still expected to decline approximately 19%, with adjusted EBITDA of $30 million-$32 million.
- SpoiledChild remained a major growth driver, with 2026 revenue expected to grow at least 35% and approach $350 million. The brand continues to post strong customer metrics, including 12-month net revenue repeat rates well above 100%.
- METHODIQ’s early performance is exceeding management’s expectations, with first-year revenue expected to surpass SpoiledChild’s first year. The company plans to expand into additional medical-grade categories, including longevity and metabolic health, and launch a fourth brand in 2027.
- Oddity maintained substantial financial flexibility, ending the quarter with $561 million in cash and investments and undrawn credit facilities. It repurchased 5.6 million shares for $80 million in Q2, reducing shares outstanding by approximately 20% year to date, while $87 million remains under its buyback authorization.
ODDITY Tech Price Performance
ODD opened at $16.48 on Thursday. The stock has a market cap of $948.92 million, a P/E ratio of 20.86 and a beta of 2.38. ODDITY Tech has a 52-week low of $9.25 and a 52-week high of $64.23. The business has a fifty day moving average of $14.97 and a 200 day moving average of $14.31. The company has a quick ratio of 2.86, a current ratio of 4.06 and a debt-to-equity ratio of 1.96.
Analysts Set New Price Targets
Read Our Latest Stock Report on ODDITY Tech
More ODDITY Tech News
Here are the key news stories impacting ODDITY Tech this week:
- Positive Sentiment: Quarterly earnings and revenue beat estimates. ODDITY reported adjusted diluted EPS of $0.20, above the $0.12 consensus, while revenue of $180.5 million exceeded expectations of approximately $178.2 million. ODDITY Tech Beats Q2 Earnings and Revenue Estimates
- Positive Sentiment: Management expects a meaningful sequential improvement. Third-quarter revenue is projected to decline only about 5% year over year, compared with a 25% decline in the second quarter. Full-year revenue guidance of approximately $656 million was also above the roughly $627 million analyst consensus. ODDITY Tech Reports Second Quarter Results
- Positive Sentiment: Newer brands are gaining traction. SpoiledChild delivered double-digit growth and is expected to approach $350 million in 2026 revenue, while METHODIQ’s early performance is tracking ahead of SpoiledChild’s first-year results.
- Positive Sentiment: Capital returns support the stock. ODDITY repurchased approximately $163 million of shares year to date, reducing ordinary shares outstanding by about 20%, and maintains $561 million in cash and investments plus $350 million in undrawn credit facilities.
- Neutral Sentiment: Analyst views remain cautious. Jefferies raised its price target from $16 to $18 but retained a Hold rating. Needham also reaffirmed its Hold rating. Needham Reaffirms Hold Rating
- Negative Sentiment: Underlying results deteriorated sharply. Second-quarter revenue fell 24.9% year over year to $180.5 million, adjusted EBITDA dropped to $13 million from $69.5 million, and net income declined to $12.9 million from $49.3 million.
- Negative Sentiment: IL MAKIAGE remains a major risk. The company is still working with its largest advertising partner to resolve a technical algorithm disruption, and full-year revenue is expected to decline approximately 19%.
Insider Transactions at ODDITY Tech
In other news, CFO Mann Drucker sold 7,717 shares of the firm’s stock in a transaction that occurred on Tuesday, September 1st. The shares were sold at an average price of $15.09, for a total transaction of $116,449.53. Following the transaction, the chief financial officer directly owned 116,135 shares of the company’s stock, valued at approximately $1,752,477.15. This trade represents a 6.23% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders have sold 172,454 shares of company stock valued at $2,592,610.
Institutional Inflows and Outflows
Hedge funds and other institutional investors have recently bought and sold shares of the company. Invesco Ltd. raised its position in ODDITY Tech by 67.3% during the 4th quarter. Invesco Ltd. now owns 6,617 shares of the company’s stock valued at $266,000 after purchasing an additional 2,661 shares in the last quarter. Vident Advisory LLC grew its position in shares of ODDITY Tech by 60.0% during the 4th quarter. Vident Advisory LLC now owns 7,144 shares of the company’s stock worth $287,000 after buying an additional 2,679 shares in the last quarter. State of Tennessee Department of Treasury grew its position in shares of ODDITY Tech by 35.1% during the 4th quarter. State of Tennessee Department of Treasury now owns 47,850 shares of the company’s stock worth $1,923,000 after buying an additional 12,424 shares in the last quarter. Man Group plc increased its stake in shares of ODDITY Tech by 67.5% during the fourth quarter. Man Group plc now owns 353,690 shares of the company’s stock valued at $14,211,000 after buying an additional 142,558 shares during the period. Finally, Janus Henderson Group PLC increased its stake in shares of ODDITY Tech by 115.0% during the fourth quarter. Janus Henderson Group PLC now owns 2,423,917 shares of the company’s stock valued at $97,379,000 after buying an additional 1,296,551 shares during the period. Institutional investors own 35.88% of the company’s stock.
About ODDITY Tech
Oddity Tech Ltd. operates as a consumer tech company that builds digital-first brands for the beauty and wellness industries in the United States and internationally. It serves consumers worldwide through its AI-driven online platform, which uses data science, machine learning, and computer vision capabilities to identify consumer needs, and develop solutions in the form of beauty and wellness products. The company sells beauty, hair, and skin products under the IL MAKIAGE and SpoiledChild brands.
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