Oddity Tech Ltd. (NASDAQ: ODD) is a consumer tech company working to transform the global beauty industry. To achieve its goal, it uses AI not only to select products for customers but also to design them.
Its share rose on Wednesday, December 20, 2023, part of a continuing trend for most of the week. Oddity Tech stock closed at $46.87 during the trading session, gaining 6.31%, with a trading volume of 437,881. In the past five days, the stock’s value has risen by 9.56% and 67.81% in the last three months.
In November, the stock rose 33% following impressive Q3 results. At the time, CEO Oran Holtzman said
“Our third quarter is our best third quarter ever, exceeding our guidance. We delivered net revenue growth of 60% and adjusted EBITDA of $91 million in the first nine months of 2023 and are increasing our sales and profit outlook for the full year”.
He added
“We continue to deliver excellent growth and profitability for IL MAKIAGE and SpoiledChild while building powerful engines to scale our business and expand our lead in 2024 and beyond. Our business continues to fire on all cylinders and is the strongest it has ever been. Our large investments in technology and data capabilities over the past five years are enabling us to continue to grow fast without damaging our high margins and strong profitability”.
The company is also looking for impressive results in the fourth quarter of 2023, ending on December 31. For Q4, the company forecast net revenue ranging from $82 million to $85 million, reflecting a year-over-year growth of 22%-26%.
Is Oddity Tech Ltd A Market Leader in the Making?
Oddity Tech went public in July 2023. It was one of the last IPOs this year, launching at $35 per share. Its focus is on beauty and wellness through its IL Makiage and SpoiledChild brands.
Oddity has qualities that make it unique and superior to existing cosmetic brands. One is that the company exclusively sells its products online, and it incorporates AI to enhance the customer experience. Additionally, the company remains dedicated to advancing beauty and wellness products through its research centers.
The company utilizes an innovative ” power match system” powered by machine learning and AI. Their system gathers skin tone and color data via the phone camera. Additionally, the company has heavily leaned into social media, using influencers and bloggers to promote their products.
Should you Invest in ODD Stock?
Oddity Tech was one of the few IPOs to launch in 2023. Unlike most other IPOs, which inflate their valuation, lack profitability or have moved beyond their peak value, ODD has continued to grow. ODD stock is worth adding to your watch list in 2024.
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