Last Updated: 19 Sep 2024
Executive Summary
European Wax Center Inc. (EWCZ) is a leading provider of out-of-home waxing services in the United States. The company has a strong financial position with positive earnings and revenue growth. The stock is currently trading at $7.37, below its 52-week high of $17.73. Analysts are bullish on the stock, with a consensus price target of $8.44.
Company Overview
European Wax Center was founded in 2004 and is headquartered in Plano, Texas. The company operates over 800 locations in the United States and Canada. European Wax Center offers a variety of waxing services, including full body waxing, Brazilian waxing, and facial waxing. The company also sells a line of skincare products.
Fundamental Analysis
European Wax Center has a strong financial position. The company's revenue has grown by an average of 10% over the past five years. In 2023, the company reported revenue of $223.8 million and net income of $20.6 million. European Wax Center has a strong balance sheet with $44.2 million in cash and equivalents and no debt.
Technical Analysis
The technical analysis of European Wax Center's stock shows that the stock is in a downtrend. The stock has been trading below its 50-day and 200-day moving averages. The stock's relative strength index (RSI) is also below 50, which indicates that the stock is oversold.
Short Term Outlook
The short-term outlook for European Wax Center's stock is mixed. The stock is currently trading below its 50-day and 200-day moving averages, which indicates that the stock is in a downtrend. However, the stock's RSI is below 50, which indicates that the stock is oversold. This suggests that the stock could be due for a bounce.
Long Term Outlook
The long-term outlook for European Wax Center's stock is positive. The company has a strong financial position and a growing market share. The company is also expanding into new markets, such as Canada. As the company continues to grow, the stock price is likely to follow.
Analyst Recommendations
Analysts are bullish on European Wax Center's stock. The consensus price target is $8.44, which represents a potential upside of 14.5% from the current price. Three analysts have a "Strong Buy" rating on the stock, three analysts have a "Buy" rating, and three analysts have a "Hold" rating.
