svetikd/E+ via Getty Images Intro Waldencast plc ( NASDAQ: WALD ) (incorporated in 2020) is a provider of independent brands in the beauty & wellness industry. It provides the 'Milk Makeup' & 'Obagi' brands which are tailored to a host of clientele in the makeup & skincare categories. Both brands underwent a successful business combination with Waldencast back in 2022.
In any prospective investment, we look at the company's technicals, profitability & growth trends, plus valuation to see if there is value in the stock. To this point, valuing growing companies can be tricky in the best of times especially when bottom-line profitability remains negative (as is the case of Waldencast at present). As we see from Waldencast's technicals, for example, shares have consistently been making lower lows since the latter stages of last year.
Although the collapse of the share price in recent times has resulted in a very oversold MACD reading (which looks like a bullish crossover may be imminent), the absence of a bullish divergence in the popular RSI momentum reading may be demonstrating that a convincing bottom may indeed be not at hand at all . Therefore, let's go to Waldencast's recent first-quarter earnings report & associated profitability and valuation trends to see if there is any justification for buying the New York-based company at just under $4 a share. Waldencast Intermediate Technical Chart (Stockcharts.
com) Q1 2024 Financial Results Net revenues excluding the China business.
