Olaplex (NASDAQ:OLPX) Reaches New 52-Week High – What’s Next?

Olaplex Holdings, Inc. (NASDAQ:OLPX)’s share price hit a new 52-week high during trading on Thursday . The stock traded as high as $2.01 and last traded at $2.0050, with a volume of 71218940 shares changing hands. The stock had previously closed at $1.33.

Key Headlines Impacting 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)

Analyst Ratings Changes

A number of analysts recently weighed in on the company. Wall Street Zen upgraded Olaplex from a “sell” rating to a “hold” rating in a research report on Saturday, March 7th. Northland Securities cut shares of Olaplex from a “strong-buy” rating to a “hold” rating in a research report on Thursday. Weiss Ratings reissued a “sell (d)” rating on shares of Olaplex in a research note on Thursday, January 22nd. Zacks Research upgraded shares of Olaplex from a “strong sell” rating to a “hold” rating in a report on Thursday, February 19th. Finally, Morgan Stanley set a $1.40 price objective on shares of Olaplex in a research note on Tuesday, March 10th. Two analysts have rated the stock with a Buy rating, four have given a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and an average target price of $1.89.

Olaplex Stock Up 0.5%

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 50-day simple moving average of $1.51 and a two-hundred day simple moving average of $1.36. The stock has a market cap of $1.35 billion, a P/E ratio of -202.00 and a beta of 2.24.

Olaplex (NASDAQ:OLPX) last issued 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 firm had revenue of $105.12 million for the quarter, compared to analysts’ expectations of $104.21 million. During the same quarter last year, the business earned $0.01 earnings per share. The business’s revenue was up 4.4% on a year-over-year basis. On average, equities analysts forecast that Olaplex Holdings, Inc. will post 0.1 EPS for the current year.

Insider Buying and Selling at Olaplex

In other Olaplex news, General Counsel John C. Duffy sold 34,962 shares of the firm’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 sale, the general counsel owned 982,855 shares of the company’s stock, valued at $1,238,397.30. This trade represents a 3.43% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, insider Trisha L. Fox sold 25,421 shares of the business’s stock in a transaction dated Thursday, March 12th. The shares were sold at an average price of $1.26, for a total transaction of $32,030.46. Following the completion of the transaction, the insider owned 1,080,363 shares in the company, valued at $1,361,257.38. The trade was a 2.30% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold 215,442 shares of company stock valued at $271,457 in the last quarter. Company insiders own 4.30% of the company’s stock.

Institutional Investors Weigh In On Olaplex

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

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.