TLDR
- Oddity Tech closed at $40.18, with slight after-hours recovery despite daily market weakness.
- Q3 2025 revenue rose 24%, driven mainly by strong growth in international markets.
- Expansion into Europe slightly lowered order value but strengthened long-term scale potential.
- METHODIQ launch adds a dermatology brand aimed at faster growth despite early margin pressure.
- JPMorgan cut its target to $59 but maintained an Overweight rating on growth confidence.
Oddity Tech Ltd. (ODD) closed at $40.18 on Tuesday, reflecting a 1.28% decline during regular trading hours. The stock slightly recovered in after-hours trading, ticking up 0.05% to reach $40.20.
Oddity Tech Ltd., ODD
Despite short-term volatility, Wall Street analysts continue to express confidence in the company’s long-term trajectory.
Robust International Expansion Drives Revenue Growth
Oddity Tech reported a 24% year-over-year revenue increase in Q3 2025, reaching $148 million in total sales. The growth came from strong international performance, with revenue outside the U.S. rising 40% over the same period. Markets like the UK and Australia led this momentum, while the company began testing entry into France, Italy, and Spain.
Although these new regions caused a minor 1% decline in average order value, customer volume and retention remained strong. The lower price points in newer European markets reduced order size, but high repeat purchases helped maintain profitability. This global strategy continues to underpin the company’s upward revisions in full-year revenue guidance.
Management now expects total revenue between $806 million and $809 million for fiscal 2025, indicating 24–25% annual growth. The company forecasts adjusted diluted earnings per share between $2.10 and $2.12. These projections suggest Oddity’s international strategy is successfully balancing costs and growth.
Launch of METHODIQ Signals Brand Diversification
Oddity Tech launched METHODIQ in Q3, a new dermatology-focused medical brand targeting the growing telehealth and skincare market. While this venture carries lower initial margins due to physician network costs, management expects rapid scaling. This approach mirrors the earlier success of SpoiledChild, another brand launched by the company.
The introduction of METHODIQ enhances Oddity’s brand portfolio and supports diversification beyond beauty and wellness. It represents a key part of the company’s roadmap to penetrate health-tech adjacent markets. METHODIQ also positions the company to capture demand in clinical skincare solutions through tech-enabled channels.
As consumer trends shift toward medical-grade skincare, METHODIQ gives Oddity a competitive edge. The brand is built to scale faster than its predecessors, targeting strong early adoption in the U.S. Management views this new launch as a high-growth lever despite short-term margin pressure.
JPMorgan Reaffirms Overweight Despite Target Revision
On December 12, JPMorgan adjusted its price target on Oddity Tech from $67 to $59. However, the firm reaffirmed its Overweight rating based on solid fundamentals and sustained earnings momentum. The price revision followed JPMorgan’s 2026 outlook update for small- and mid-cap internet and gaming sectors.
This suggests confidence in Oddity’s operational strategy, supported by consistent EPS growth and revenue expansion. The company’s adjusted diluted EPS rose 24% year-over-year in Q3, matching its revenue growth pace. This level of alignment between earnings and revenue reinforces investor sentiment.
Oddity Tech continues to benefit from strong performance by its core brands IL MAKIAGE and SpoiledChild. Repeat business and high customer retention are helping offset increased acquisition costs. While market volatility may persist, analysts maintain a positive long-term outlook for the stock.
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