ODDITY Tech Ltd. Class A (ODD) AI Stock Analysis

• Market Cap: $3.40B
• Dividend Yield: N/A
• Average Volume (3M): 484.03K
• Price to Earnings (P/E): 34.1
• Beta (1Y): 1.62
• Revenue Growth: 26.12%
• EPS Growth: 28.03%
• Country: US
• Employees: 489
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Infrastructure
• EPS (TTM): 0.79
• Shares Outstanding: 44,281,292
• 10 Day Avg. Volume: 394,926
• 30 Day Avg. Volume: 484,033
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.19
• Enterprise Value/Revenue: 5.38
• Enterprise Value/Gross Profit: 7.38
• Enterprise Value/Ebitda: 29.69
• 1Y Price Target: $76.29
• Price Target Upside: 24.94% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 7

• Rating: 74 Outperform
• Price Target: $68.00 ▲(11.37% Upside)

ODDITY Tech Ltd. Class A shows strong financial performance and positive earnings call sentiment, driven by significant revenue growth and strategic expansion. However, technical indicators suggest a bearish trend, and the valuation appears high, which tempers the overall score.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective business strategies, supporting long-term expansion and profitability.

International Expansion

Successful international expansion enhances market reach and diversifies revenue streams, reducing reliance on domestic markets and fostering sustainable growth.

Product Diversification

Expanding into new product categories like medical-grade dermatology strengthens competitive positioning and opens new revenue opportunities.

Negative Factors

Average Order Value Decline

A decline in average order value can impact profitability, suggesting challenges in maintaining pricing power or product mix optimization.

Gross Margin Compression

Margin compression due to growth investments and tariffs may pressure profitability, affecting the company's ability to sustain high margins long-term.

Negative Free Cash Flow Growth

Negative free cash flow growth could signal potential challenges in maintaining liquidity and funding future investments without external financing.

ODDITY Tech Ltd. Class A Business Overview & Revenue Model

Company Description

Oddity Tech Ltd., together with its subsidiaries, operates as a consumer-tech company worldwide. The company provides beauty and wellness products utilizing its PowerMatch technology. It builds and scales digital-first brands to disrupt the offline-dominated beauty and wellness industries. The company offers products for face and complexion, eyes and brows, lips, and skin care under the IL MAKIAGE brand; and hair and skin care products under the SpoiledChild brand. The company was incorporated in 2013 and is based in Tel Aviv-Jaffa, Israel.

How the Company Makes Money

ODDITY Tech Ltd. generates revenue primarily through its direct-to-consumer e-commerce platform, where it sells a variety of beauty and wellness products. The company utilizes a subscription model that allows customers to receive personalized product recommendations and replenishments on a regular basis, ensuring steady cash flow and customer retention. Additional revenue streams include partnerships with beauty brands for exclusive product launches and collaborations, as well as data monetization by providing insights and analytics to other companies in the beauty and wellness industry. The integration of advanced technology enhances customer experience, driving higher conversion rates and increasing average order values, further contributing to its earnings.

ODDITY Tech Ltd. Class A Financial Statement Overview

Summary

ODDITY Tech Ltd. Class A shows strong financial health with consistent revenue growth and profitability. The company maintains a solid balance sheet with low leverage and high return on equity. While cash flow generation is robust, the negative growth in free cash flow warrants attention.

Income Statement

ODDITY Tech Ltd. Class A demonstrates strong revenue growth with a TTM increase of 6.88%. The company maintains a high gross profit margin of 72.93% and a solid net profit margin of 14.65%, indicating efficient cost management and profitability. However, there is a slight decline in EBIT and EBITDA margins compared to the previous year, suggesting potential pressure on operational efficiency.

Balance Sheet

The company's balance sheet is robust with a low debt-to-equity ratio of 0.065, reflecting minimal leverage and financial stability. The return on equity is impressive at 33.29%, showcasing effective use of shareholder funds to generate profits. However, the equity ratio is not explicitly provided, which limits a full assessment of asset financing.

Cash Flow

ODDITY Tech Ltd. Class A has a strong operating cash flow to net income ratio of 1.06, indicating good cash generation from operations. However, the free cash flow growth rate is negative at -8.47%, which could signal potential challenges in maintaining cash reserves. The free cash flow to net income ratio remains healthy at 0.94, suggesting efficient conversion of profits into cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	751.85M	647.04M	508.69M	324.52M	222.56M	110.64M
Gross Profit	548.32M	468.32M	358.23M	218.05M	153.18M	77.83M
EBITDA	136.37M	125.43M	82.92M	32.07M	23.52M	20.92M
Net Income	110.13M	101.49M	58.53M	21.73M	13.92M	11.71M
Balance Sheet
Total Assets	1.10B	438.88M	404.91M	216.41M	142.97M	81.75M
Cash, Cash Equivalents and Short-Term Investments	678.68M	100.22M	115.65M	40.95M	28.83M	39.77M
Total Debt	22.85M	22.71M	12.51M	15.88M	5.35M	5.49M
Total Liabilities	746.66M	156.58M	121.80M	117.70M	74.32M	29.40M
Stockholders Equity	351.24M	282.30M	283.11M	98.70M	68.65M	52.35M
Cash Flow
Free Cash Flow	126.08M	129.76M	81.84M	31.25M	3.12M	19.75M
Operating Cash Flow	133.71M	137.76M	87.45M	39.03M	9.87M	23.02M
Investing Cash Flow	17.25M	1.35M	-139.99M	-25.78M	-18.78M	6.67M
Financing Cash Flow	418.76M	-127.30M	48.81M	-246.00K	-318.00K	161.00K

ODDITY Tech Ltd. Class A Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 61.06
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ODD, the sentiment is Negative. The current price of 61.06 is below the 20-day moving average (MA) of 61.89, below the 50-day MA of 63.48, and above the 200-day MA of 55.96, indicating a neutral trend. The MACD of -0.57 indicates Positive momentum. The RSI at 35.88 is Neutral, neither overbought nor oversold. The STOCH value of 7.96 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ODD.

ODDITY Tech Ltd. Class A Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PAYO	75 Outperform	2.33B	24.57	12.95%	―	13.02%	-2.57%
ODD	74 Outperform	$3.40B	34.08	30.36%	―	26.12%	28.03%
DOCN	70 Outperform	3.31B	28.53	-72.17%	―	13.29%	79.98%
TENB	63 Neutral	3.62B	-79.83	-12.83%	―	11.41%	33.76%
AVPT	62 Neutral	3.24B	-300.79	-1.90%	―	24.41%	40.20%
CLBT	54 Neutral	4.42B	-24.09	-36.96%	―	20.48%	-44.22%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

ODDITY Tech Ltd. Class A Corporate Events

ODDITY Tech Reports Record Q2 2025 Results and Raises Outlook

On August 4, 2025, ODDITY Tech Ltd. reported record financial results for the second quarter ending June 30, 2025, with a 25% year-over-year increase in net revenue to $241 million and a net income of $49 million. The company exceeded its financial guidance across all metrics and raised its full-year outlook, driven by strong performance and strategic expansions, including the development of new brands and international growth. ODDITY’s robust cash position and successful exchangeable note offering further strengthen its financial standing, allowing continued reinvestment in technology and new market opportunities.