Oddity Tech (ODD) updated its annual outlook and raised expectations for net revenue growth, citing rising online sales and accelerated international expansion. This change comes just ahead of the company’s upcoming quarterly earnings report.

Oddity’s 1-year total shareholder return stands at 23.6%, reflecting continued optimism about its business momentum, even as the recent 7-day and 30-day share price returns of -15% and -19.8% show that some investors are reassessing shorter-term risks amid sector volatility. Despite a choppy few weeks, the company’s upgraded outlook suggests the story may be far from over.

If Oddity’s mix of rapid online growth and bold forecasts has your attention, this could be the right time to broaden your horizons and discover fast growing stocks with high insider ownership

With analyst targets still well above today’s share price and business forecasts firmly on the upswing, the question for investors is clear: is there a genuine bargain hiding in plain sight, or are markets already accounting for every bit of future growth?

Most Popular Narrative: 31.2% Undervalued

With the current share price well below the most popular narrative's fair value, the focus shifts to Oddity Tech's potential growth, market expansion, and technology edge that support this bullish outlook.

Oddity's ongoing international expansion, with significant strengthening in existing and prospective new markets (for example, France, Italy, Spain), is at a very early stage relative to peers but is already generating greater than 40% year-over-year growth. This provides a long runway for revenue growth as it closes the gap with competitors whose businesses are 70% international (compared to 15% for Oddity). This trend could materially increase total addressable market and revenue in future periods.

Curious what’s fueling this optimistic price target? The narrative highlights a future shaped by major geographic expansion and untapped verticals, along with ambitious profitability projections. Want to see the bold financial calculations behind this forecast? Dive in to uncover the assumptions that influence this narrative's story.

Result: Fair Value of $73.20 (UNDERVALUED)

However, heavy reliance on digital customer acquisition and rapid global expansion could challenge Oddity's margins and execution. This may potentially reshape the bullish narrative ahead.

Another View: Multiples Paint a High-Value Picture

Looking at Oddity Tech from a different angle, its share price trades at a 26.3x earnings ratio, which is higher than both the industry average (18.4x) and the estimated fair ratio (24.8x). While peers average 29.7x, this suggests the market could re-rate the stock in either direction. Could sentiment drive a bigger correction, or is there headroom if growth pans out?

Build Your Own Oddity Tech Narrative

If you see things differently, or want to dig into the data on your own terms, it’s easy to put together your own analysis in just minutes. Do it your way

A good starting point is our analysis highlighting 4 key rewards investors are optimistic about regarding Oddity Tech.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.