ODDITY Tech Swings to Q1 Loss as Ad Disruption Hits Sales but Steps Up Buybacks
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The latest announcement is out from ODDITY Tech Ltd. Class A ( (ODD) ).
On June 2, 2026, ODDITY Tech reported first-quarter 2026 results showing net revenue of $197.9 million, down 26% year over year, and a swing to a net loss of $21.4 million as gross margin compressed and adjusted EBITDA fell to a $7 million loss. The company attributed the deterioration largely to a sudden spike in customer acquisition costs with its largest advertising partner, which it characterized as a technical ad-account dislocation affecting multiple geographies, even as it noted signs of improvement in IL MAKIAGE acquisition metrics in May.
Management said the disruption led to a sharp drop in first orders that is expected to weigh on repeat business throughout 2026, and projected a 25–30% revenue decline in the second quarter, underscoring near-term pressure on growth and profitability despite expectations for positive full-year adjusted EBITDA. ODDITY highlighted a robust liquidity position with $667.4 million in cash, equivalents and investments plus $350 million in undrawn credit facilities, and underscored its confidence by repurchasing about 6.1 million Class A shares for $82.3 million in the quarter under a $200 million buyback plan, reducing the Class A float by roughly 10.6% while continuing to invest in its new METHODIQ brand and the ODDITY Labs platform.
The most recent analyst rating on (ODD) stock is a Hold
with a $14.00 price target.
To see the full list of analyst forecasts on ODDITY Tech Ltd. Class A stock,
see the ODD Stock Forecast page.
Spark’s Take on ODD Stock
According to Spark, TipRanks’ AI Analyst, ODD is a Neutral.
The score is supported primarily by strong underlying financial fundamentals (profitability, low leverage, and multi-year growth), but is meaningfully tempered by very weak technicals (sharp downtrend) and the earnings-call outlook pointing to near-term revenue/margin headwinds and guidance uncertainty. Valuation appears moderate rather than a clear bargain.
To see Spark’s full report on ODD stock,
click here.
More about ODDITY Tech Ltd. Class A
ODDITY Tech Ltd. is a digital-first beauty and wellness company, best known for brands such as IL MAKIAGE, SpoiledChild and its new launch METHODIQ. The company uses data and technology, including its ODDITY Labs molecule discovery platform, to develop and market cosmetics and related products, with a strong focus on user acquisition through online advertising across multiple markets.
Average Trading Volume: 1,623,310
Technical Sentiment Signal: Sell
Current Market Cap: $765.4M
For an in-depth examination of ODD stock, go to TipRanks’ Overview page.
