Olaplex (NASDAQ:OLPX) Rating Lowered to “Hold” at Northland Securities

Olaplex (NASDAQ:OLPX) was downgraded by analysts at Northland Securities from a “strong-buy” rating to a “hold” rating in a research report issued on Thursday,Zacks.com reports.

A number of other brokerages have also recently issued reports on OLPX. Telsey Advisory Group reissued a “market perform” rating and issued a $2.00 price objective on shares of Olaplex in a research note on Monday, March 2nd. Morgan Stanley set a $1.40 target price on shares of Olaplex in a research note on Tuesday, March 10th. Jefferies Financial Group reaffirmed a “buy” rating on shares of Olaplex in a report on Wednesday, March 4th. Wall Street Zen upgraded Olaplex from a “sell” rating to a “hold” rating in a research note on Saturday, March 7th. Finally, Weiss Ratings reissued a “sell (d)” rating on shares of Olaplex in a report on Thursday, January 22nd. Two investment analysts have rated the stock with a Buy rating, four have given a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, Olaplex has an average rating of “Hold” and an average target price of $1.89.

Olaplex Stock Up 0.5%

NASDAQ OLPX opened at $2.02 on Thursday. Olaplex has a 52 week low of $0.99 and a 52 week high of $2.02. The company has a quick ratio of 4.00, a current ratio of 4.58 and a debt-to-equity ratio of 0.40. The company has a market capitalization of $1.35 billion, a P/E ratio of -202.00 and a beta of 2.24. The stock’s 50-day moving average price is $1.51 and its 200-day moving average price is $1.36.

Olaplex (NASDAQ:OLPX) last released its earnings results on Thursday, March 5th. The company reported $0.01 earnings per share (EPS) for the quarter, hitting the consensus estimate of $0.01. Olaplex had a negative net margin of 2.19% and a positive return on equity of 1.07%. The company had revenue of $105.12 million during the quarter, compared to analyst estimates of $104.21 million. During the same period in the prior year, the firm posted $0.01 EPS. The firm’s quarterly revenue was up 4.4% compared to the same quarter last year. On average, equities research analysts predict that Olaplex will post 0.1 earnings per share for the current year.

Insider Activity

In other news, General Counsel John C. Duffy sold 34,962 shares of the business’s stock in a transaction on Thursday, March 12th. The shares were sold at an average price of $1.26, for a total value of $44,052.12. Following the transaction, the general counsel owned 982,855 shares of the company’s stock, valued at approximately $1,238,397.30. The trade was a 3.43% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CFO Catherine Dunleavy sold 93,809 shares of the company’s stock in a transaction on Thursday, March 12th. The stock was sold at an average price of $1.26, for a total transaction of $118,199.34. Following the transaction, the chief financial officer owned 3,026,885 shares of the company’s stock, valued at approximately $3,813,875.10. This represents a 3.01% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold a total of 215,442 shares of company stock worth $271,457 over the last quarter. Insiders own 4.30% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in the company. Portolan Capital Management LLC lifted its position in shares of Olaplex by 132.6% in the third quarter. Portolan Capital Management LLC now owns 3,635,124 shares of the company’s stock worth $4,762,000 after buying an additional 2,072,383 shares in the last quarter. Dynamic Technology Lab Private Ltd grew its holdings in Olaplex by 139.9% during the 2nd quarter. Dynamic Technology Lab Private Ltd now owns 93,933 shares of the company’s stock valued at $132,000 after buying an additional 54,781 shares in the last quarter. Childress Capital Advisors LLC purchased a new position in Olaplex during the 4th quarter valued at approximately $99,000. Savant Capital LLC bought a new stake in Olaplex in the 3rd quarter worth approximately $43,000. Finally, Wealth Enhancement Advisory Services LLC bought a new stake in Olaplex in the 3rd quarter worth approximately $32,000. Hedge funds and other institutional investors own 87.37% of the company’s stock.

Trending Headlines about Olaplex

Here are the key news stories impacting Olaplex this week:

• Positive Sentiment: Henkel agreed to acquire Olaplex for $2.06 per share (≈$1.4 billion), a ~55% premium to the pre-announcement close; the deal is being pitched as enabling greater investment and distribution for the brand. OLAPLEX to be Acquired by Henkel for $1.4 Billion
• Positive Sentiment: Heavy bullish activity and strong market reaction: premarket headlines and commentary noted a large surge after the announcement, and unusual options activity (large buy of calls) signaled speculative and takeover-arbitrage positioning. Wall Street Breakfast Podcast: Henkel Adds Shine With Olaplex
• Neutral Sentiment: Small analyst adjustments: Telsey Advisory Group raised its price target marginally to $2.06 and kept a “market perform” rating — a modest validation of the deal price but not a strong new bullish signal. Benzinga
• Negative Sentiment: Multiple shareholder-law firms have launched investigations into whether Olaplex shareholders received a fair price or whether there were breaches of fiduciary duty in connection with the sale — this raises litigation risk and could complicate closing/timing. M&A Class Action Firm Announces Investigation Ademi Firm Investigates Fair Price
• Negative Sentiment: Critical analysis and a downgrade: commentary pieces flagged negative implications of the sale for certain stakeholders, and Northland downgraded the stock from “strong-buy” to “hold” — both could reduce enthusiasm among some investors. Henkel Buys Olaplex – Implications Are Negative Zacks (Northland downgrade)

About Olaplex

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.