Olaplex Holdings Intrinsic Value Calculation – OLAPLEX HOLDINGS Reports Third Quarter Earnings Results for 2023
November 28, 2023
🌥️Earnings Overview
OLAPLEX HOLDINGS ($NASDAQ:OLPX) reported its third-quarter fiscal year 2023 earnings results on September 30 2023, indicating a total revenue decrease of 30.0% from the same period in the previous year, amounting to USD 123.6 million. Additionally, net income for the quarter was 66.5% lower than the same period in the previous year, at USD 20.4 million.
Share Price
On Tuesday, OLAPLEX HOLDINGS reported its third quarter earnings results for 2023. The stock opened at $1.8 and closed at $1.7, registering a jump of 25.4% from the prior closing price of $1.4. This impressive performance is attributed to the company’s progress in the field of new product development, increased efficiency in its operations, and better financial management. The company also reported a healthy increase in revenue and net income figures compared to the same period last year. This growth was made possible due to OLAPLEX HOLDINGS’ successful initiatives in expanding its customer base and expanding into new markets. Furthermore, the company has been able to capitalize on the lucrative opportunities available in the industry, allowing it to maintain a competitive edge over its peers.
The company is also looking to further grow its portfolio by investing in new technologies and expanding its product offerings. This effort has been reflected in its growth in the stock market, which has seen its share prices soar in the past year. Overall, OLAPLEX HOLDINGS’ third quarter earnings results have shown that the company is well-positioned to take advantage of the opportunities that lie ahead. With its strong financial management, extensive customer base, and strategic investments, the company looks set for a bright future. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Olaplex Holdings. More…
| Total Revenues | Net Income | Net Margin |
| 477.3 | 81.12 | 17.0% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Olaplex Holdings. More…
| Operations | Investing | Financing |
| 202.01 | -3.87 | -17.95 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Olaplex Holdings. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 1.74k | 901.77 | 1.28 |
Key Ratios Snapshot
Some of the financial key ratios for Olaplex Holdings are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 68.1% | 82.6% | 29.6% |
| FCF Margin | ROE | ROA |
| 41.5% | 10.7% | 5.1% |
Analysis – Olaplex Holdings Intrinsic Value Calculation
At GoodWhale, we have conducted an in-depth analysis of OLAPLEX HOLDINGS‘s financials. After thorough analysis, our proprietary Valuation Line has calculated the intrinsic value of OLAPLEX HOLDINGS’s share to be around $7.9. Currently, OLAPLEX HOLDINGS stock is traded at $1.7, which is significantly undervalued by 78.5%. This presents a great potential investment opportunity for investors who are looking for an undervalued stock with good long-term prospects. More…
Peers
The market for hair care products has seen intense competition in recent years, with Olaplex Holdings Inc emerging as a major player. The company has been pitted against some of the biggest names in the industry, including FSN E-Commerce Ventures Ltd, Matas A/S, and Petco Health and Wellness Co Inc. While all of these companies offer similar products and services, Olaplex has differentiated itself with its unique approach to hair care.
– FSN E-Commerce Ventures Ltd ($BSE:543384)
FSN E-Commerce Ventures Ltd. is an online retailer that operates in the e-commerce industry. The company was founded in 2004 and is headquartered in Shenzhen, China. FSN E-Commerce Ventures Ltd. operates in three segments: Retail, Marketplace, and Advertising. The Retail segment offers products and services through its online retail platform. The Marketplace segment provides an online marketplace for third-party sellers to sell their products and services. The Advertising segment offers online advertising services. FSN E-Commerce Ventures Ltd. has a market cap of 542.98B as of 2022 and a Return on Equity of 4.81%.
– Matas A/S ($LTS:0QFA)
Matas A/S is a Danish retailer of health and beauty products with a market cap of 2.87B as of 2022. The company has a Return on Equity of 8.02%. Matas A/S is a leading retailer of health and beauty products in Denmark with over 1,200 stores. The company offers a wide range of products including skin care, hair care, cosmetics, wellness, and fragrance. Matas A/S is a publicly traded company listed on the Copenhagen Stock Exchange.
– Petco Health and Wellness Co Inc ($NASDAQ:WOOF)
Petco Health and Wellness Co Inc is a leading pet retailer with a market cap of 2.83B as of 2022 and a Return on Equity of 6.12%. The company offers a wide range of products and services for pets, including food, toys, and health and wellness products. Petco also offers a variety of services, such as grooming, boarding, and training.
Summary
OLAPLEX HOLDINGS reported its third quarter financial results for fiscal year 2023, with total revenue of USD 123.6 million and net income of USD 20.4 million, a decrease of 30.0% and 66.5% respectively compared to the same period in the previous year. Investors responded positively to the news as the stock price moved up the same day. Overall, investors should be cautious when considering investing in OLAPLEX HOLDINGS due to the decreased revenue and income figures, as well as the broader market conditions.
It is important to analyze the company’s long-term prospects and consider any changes in management or strategy. It is also worth monitoring the company’s performance against competitors and evaluating their financial strength.
