Olaplex (NASDAQ:OLPX) Shares Gap Down on Disappointing Earnings

Shares of Olaplex Holdings, Inc. (NASDAQ:OLPX) gapped down before the market opened on Thursday following a dissappointing earnings announcement. The stock had previously closed at $1.78, but opened at $1.4550. Olaplex shares last traded at $1.3950, with a volume of 3,273,418 shares changing hands.

The company reported ($0.02) earnings per share (EPS) for the quarter, missing the consensus estimate of $0.01 by ($0.03). Olaplex had a positive return on equity of 1.31% and a negative net margin of 1.18%.The firm had revenue of $105.12 million during the quarter, compared to the consensus estimate of $104.21 million. During the same quarter in the previous year, the company earned $0.01 EPS. The business’s revenue was up 4.4% compared to the same quarter last year.

Key Stories Impacting Olaplex

Here are the key news stories impacting Olaplex this week:

• Positive Sentiment: Q4 results: Revenue of $105.1M beat street estimates and EPS was roughly in line with last year, showing modest top-line growth (up ~4.4% YoY). This confirms the business is growing, albeit slowly. OLAPLEX Reports Fourth Quarter and Fiscal Year 2025 Results
• Positive Sentiment: Solid liquidity: the company shows strong short-term liquidity (high quick and current ratios), which reduces near-term solvency risk while it executes its plan. (Background financials)
• Neutral Sentiment: Analyst stance remains cautious: Telsey Advisory Group reiterated a Market Perform rating, signaling limited near-term upside from the analyst community. Telsey Advisory Group Reiterates Market Perform Rating for Olaplex (NASDAQ:OLPX)
• Neutral Sentiment: Pre-earnings coverage and earnings previews highlighted a narrow range of outcomes, so the beat was not wide enough to materially change sentiment. Olaplex Holdings Inc (OLPX) Q4 2025: Everything You Need To Know Ahead Of Earnings
• Negative Sentiment: Cautious FY2026 guidance: management issued revenue guidance of $414M–$435M versus a consensus near $430.3M and did not provide clear EPS guidance, leaving the market to question near-term profitability growth — a primary driver of the selloff. Here’s What Key Metrics Tell Us About Olaplex (OLPX) Q4 Earnings
• Negative Sentiment: Profitability concerns: despite the revenue beat, net margin remained negative (≈ -1.2%) and return on equity is modest, suggesting incremental top-line gains are not yet translating into healthy profits. That weak margin profile contributes to investor pessimism. NASDAQ OLPX Market Data and Coverage

Analyst Upgrades and Downgrades

OLPX has been the topic of a number of research analyst reports. Telsey Advisory Group restated a “market perform” rating and issued a $2.00 target price on shares of Olaplex in a research note on Monday. Wall Street Zen lowered Olaplex from a “hold” rating to a “sell” rating in a report on Sunday, February 15th. Zacks Research upgraded Olaplex from a “strong sell” rating to a “hold” rating in a research note on Thursday, February 19th. Weiss Ratings reaffirmed a “sell (d)” rating on shares of Olaplex in a research report on Thursday, January 22nd. Finally, Northland Securities initiated coverage on shares of Olaplex in a report on Thursday, November 20th. They issued an “outperform” rating and a $2.00 price target on the stock. One research analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating, three have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company currently has a consensus rating of “Hold” and a consensus target price of $1.85.

Hedge Funds Weigh In On Olaplex

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the business. Headlands Technologies LLC bought a new stake in shares of Olaplex in the fourth quarter valued at approximately $25,000. Chilton Capital Management LLC purchased a new position in Olaplex in the 3rd quarter valued at approximately $26,000. Abel Hall LLC bought a new stake in Olaplex during the 4th quarter valued at $27,000. Schonfeld Strategic Advisors LLC purchased a new stake in shares of Olaplex during the third quarter worth $30,000. Finally, Wealth Enhancement Advisory Services LLC bought a new position in shares of Olaplex in the third quarter worth $32,000. Institutional investors own 87.37% of the company’s stock.

Olaplex Stock Performance

The company has a quick ratio of 3.52, a current ratio of 4.16 and a debt-to-equity ratio of 0.40. The company has a market capitalization of $954.54 million, a PE ratio of 75.00 and a beta of 2.24. The company has a 50-day moving average price of $1.55 and a two-hundred day moving average price of $1.36.

Olaplex Company Profile

Olaplex, Inc (NASDAQ: OLPX) is a specialty haircare company known for its patented bond-building technology designed to repair and strengthen hair from within. The company’s core offerings encompass a range of professional salon treatments and at-home maintenance products that target chemical damage, breakage and split ends. Olaplex formulations are built around a proprietary active ingredient that works at the molecular level to rebuild disulfide bonds broken during bleaching, coloring and heat styling processes.

Founded in 2014 and headquartered in Irvine, California, Olaplex initially gained traction among high-end salons before expanding into broader retail channels.