What are good beauty stocks to invest in?

Some of the best-performing beauty stocks in recent history include e.l.f. Beauty, Interparfums, and Ulta Beauty.

Is cosmetics a good investment?

Cosmetics stocks have faced some pressure over weak sales in China and a shift from mass-market products to prestige items. Like most sectors, there have been winners and losers in the cosmetics sector.

What is the most profitable cosmetics company?

By total profit, L'Oreal is the most profitable cosmetics company. It reported net income of 6.13 billion euros in 2025.

Should I invest in individual cosmetic stocks or ETFs?

There aren't any mainstream cosmetics exchange-traded funds (ETFs), but there are broader ETFs that track some cosmetic stocks. If you're looking for direct exposure to cosmetics, it may be easier to buy a handful of individual cosmetics stocks.

Is the cosmetics industry growing?

The cosmetics industry is growing, but it has faced recent challenges in China and slowing consumer spending in the U.S.

Best Cosmetic Stocks to Buy in 2026

Best Cosmetic Stocks to Buy in 2026: Are They Right for Your Portfolio?

By Jeremy Bowman – Updated Sep 15, 2026 at 12:53 AM EST | Fact-checked by Frank Bass

Key Points

Cosmetics stocks offer growth and dividends, appealing to diverse investment styles.
Ulta Beauty shows promise with a unique retail model and history of steady sales growth.
Estée Lauder anticipates a 3%-5% organic revenue growth and higher EPS in 2027.

Beauty products have been around for thousands of years, but today they’re a global business, and cosmetic stocks are cashing in on them. What started as homemade skincare and cosmetics has evolved into an industry dominated by global brands and fast-growing online start-ups.

As part of the consumer staples sector, beauty products benefit from steady demand even in weaker economies. At the same time, their luxury appeal and social media–driven trends can fuel faster growth than typical staples. Add in rising demand in markets like China, and cosmetics have become an increasingly attractive space for investors.

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Top makeup and beauty stocks to consider

The top beauty stocks include major global brands like Estee Lauder and L'Oreal, challengers like Coty and e.l.f. Brands, retailers like Ulta Beauty, scent makers like Interparfums.

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Ticker Information Table
Name and ticker	Market capMarket cap calculated using publicly traded shares outstanding only. Does not include unlisted, private, or dual-class non-traded shares. Implied market cap may vary.	Current price	Industry
Estée Lauder Companies (NYSE:EL)	$34.9 billion	$100.29	Personal Products
Coty (NYSE:COTY)	$2.2 billion	$2.67	Personal Products
Ulta Beauty (NASDAQ:ULTA)	$23.9 billion	$553.86	Specialty Retail
L'Oréal (OTC:LRLCY)	$234.3 billion	$89.33	Personal Products
e.l.f. Beauty (NYSE:ELF)	$5.8 billion	$102.12	Personal Products
Interparfums (NASDAQ:IPAR)	$3.6 billion	$118.29	Personal Products

Data as of Sep 22, 2026. Showing 6 of 6 total entries.

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1. Estée Lauder

NYSE: EL

Estée Lauder Companies

Premium Feature

Moneyball Superscore

51/100

Today's Change

(4.10%) $3.95

Current Price

$100.29

Key Data Points

Market Cap

$35B

Day's Range

$97.86 - $100.86

52wk Range

$66.22 - $121.64

Volume

2.9M

Avg Vol

3.1M

Gross Margin

75.55%

Dividend Yield

1.45%

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2. Coty

NYSE: COTY

Coty

Premium Feature

Moneyball Superscore

39/100

Today's Change

(6.38%) $0.16

Current Price

$2.67

Key Data Points

Market Cap

$2.2B

Day's Range

$2.53 - $2.69

52wk Range

$1.82 - $4.47

Volume

5.2M

Avg Vol

9.8M

Gross Margin

58.54%

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Coty (COTY +6.38%) has struggled since its $12.5 billion acquisition of Procter & Gamble's (PG +1.47%) beauty business in 2015, which included Cover Girl and dozens of other mass-market brands. Consumer demand has drifted away from the mass market and toward the prestige segment, making Coty a loser over the past several years.

The company is now in the midst of a turnaround. It sold off its professional hair care business, Wella, to raise money to pay down debt incurred from the P&G deal. The deal helped to make the company more profitable and financially nimble. It also cut 700 jobs. It also ended the Gucci license arrangement, getting $400 million back from Kering in the process.

German conglomerate JAB Holdings now has a majority stake in the company at around 60%, indicating it thinks the stock will be a winner. It's brought in a new CEO and has looked to social media to fuel its growth. Coty also bought a 51% stake in Kylie Jenner's beauty company, Kylie Cosmetics, forming a strategic partnership with the Kardashian family member.

However, its results have been weak as organic sales were down 5% and adjusted EPS fell 5% to $0.21. Management is focused on turning the company into a prestige brand, but it seems to be taking longer than expected.

3. Ulta Beauty

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NASDAQ: ULTA

Ulta Beauty

Premium Feature

Moneyball Superscore

75/100

Today's Change

(-0.72%) $-4.00

Current Price

$553.86

Key Data Points

Market Cap

$24B

Day's Range

$552.65 - $566.10

52wk Range

$443.60 - $714.97

Volume

500.4K

Avg Vol

653K

Gross Margin

39.32%

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Ulta Beauty (ULTA -0.72%) offers a unique opportunity among cosmetics stocks. The company is a retailer of beauty products, with stores found in strip malls across the country. Its hair salons also help drive traffic into its stores, giving the company an advantage over other brick-and-mortar retailers.

The company has put up steady comparable sales growth over its history, and the stock has been a winner, bouncing back from earlier challenges under new CEO Kecia Steelman with the help of a new loyalty program. Ulta and Target (TGT +0.83%) recently ended a shop-in-store partnership as each company returned to in-house strategies. While that might be seen as a setback, the partnership didn't seem to meet expectations, and Ulta is better off investing in its own stores.

Ulta has bounced back from its 2024 headwinds, with comparable sales improving to 5.8% in 2025 and continued up 4.5% through the first half of 2026. Considering the broader tailwinds in cosmetics and the company's unique business model, Ulta seems poised for continued growth.

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4. L'Oreal

OTC: LRLCY

L'Oréal

Today's Change

(1.29%) $1.14

Current Price

$89.33

Key Data Points

Market Cap

$234B

Day's Range

$88.51 - $89.74

52wk Range

$78.82 - $95.48

Volume

295.2K

Avg Vol

197.8K

Gross Margin

74.57%

Dividend Yield

1.91%

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By far the biggest cosmetics company in the world, L'Oreal (LRLCY +1.29%) has a global reach and a diverse array of brands, including licensing deals with brands such as Diesel, Giorgio Armani, and Yves Saint Laurent.

L'Oreal has been aggressively investing in e-commerce, a channel that has been gaining share in the overall cosmetics market. It has introduced tech tools such as virtual try-on, shifted marketing spending to social media, and tapped into social commerce, enabling shopping directly on social media platforms. It's seen a continued shift to online sales, especially in emerging markets.

Sales rose 6.8% on a comparable basis through the first half of 2026, gaining market share in fragrances, hair care, and skin care, and reporting double-digit growth in emerging markets.

L'Oreal posted an operating margin of 21.3% in that period, a testament to the strengths of its brands, smart management, and balanced diversification strategy.

5. e.l.f. Beauty

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NYSE: ELF

e.l.f. Beauty

Premium Feature

Moneyball Superscore

80/100

Today's Change

(4.43%) $4.33

Current Price

$102.12

Key Data Points

Market Cap

$5.8B

Day's Range

$99.07 - $102.54

52wk Range

$48.82 - $147.75

Volume

1.2M

Avg Vol

2.4M

Gross Margin

69.20%

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E.l.f. Beauty (ELF +4.43%) was a breakout winner for much of 2024 as the company posted dramatic growth, capitalizing on a new Gen Z customer base that's looking for quality at an affordable price. The company's commitment to vegan and cruelty-free products also resonates with the younger generation.

Its growth has slowed substantially, due in part to tariffs and higher prices, but the company is still gaining market share and has grown for 30 quarters in a row. E.l.f. also enjoys wide gross margins, though it spends aggressively on marketing and digital expenses.

E.l.f. offers an attractive mix of value and growth potential, though its surging growth in 2023 and 2024 was unusual for the beauty industry and will be difficult to repeat.

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NASDAQ: IPAR

Interparfums

Premium Feature

Moneyball Superscore

75/100

Today's Change

(4.90%) $5.53

Current Price

$118.29

Key Data Points

Market Cap

$3.6B

Day's Range

$115.23 - $118.50

52wk Range

$77.21 - $129.29

Volume

241K

Avg Vol

281.4K

Gross Margin

63.82%

Dividend Yield

2.84%

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Interparfums (IPAR +4.90%) has one of the more unique business models in the cosmetics industry.

The company partners with luxury brands, licenses their brands, and develops fragrances under their names. It also benefits from an asset-light model since it doesn't own any manufacturing facilities and relies on independent suppliers to make its products.

The model has delivered huge returns for early investors, though its growth has slowed more recently. In 2025, revenue and EPS increased 2%, and EPS was flat, though it's still generating strong operating margins at 18%.

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How to invest in cosmetic stocks

Open your brokerage app: Log in to your brokerage account where you handle your investments. If you don't have one yet, take a look at our favorite brokers and trading platforms to find the right one for you.
Search for the stock: Enter the ticker or company name into the search bar to bring up the stock's trading page.
Decide how many shares to buy: Consider your investment goals and how much of your portfolio you want to allocate to this stock.
Select order type: Choose between a market order to buy at the current price or a limit order to specify the maximum price you're willing to pay.
Submit your order: Confirm the details and submit your buy order.
Review your purchase: Check your portfolio to ensure your order was filled as expected and adjust your investment strategy accordingly.

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Benefits and risks of investing in cosmetic stocks

Like any other sector, there are both benefits and risks to cosmetic stocks. Let's take a look at a few of each.

Benefits:

Cosmetics stocks generally behave like consumer staples, meaning consumers buy these products regardless of the economic environment.
Product innovation can drive growth.
The cosmetics market is growing, driven by social media, demand for natural and "clean" products, and e-commerce growth.
China has become a massive market for cosmetics.

Risks:

The industry is highly competitive, and brand loyalty is not as strong as it once was.
Demand in China has been weak since the pandemic, weighing on the growth of several companies.
Low-cost competition from "dupes" is pressuring margins across the industry.
Performance among top cosmetic stocks has been inconsistent in recent years.

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Methodology: How these stocks were chosen

The cosmetics industry is highly competitive, and establishing a competitive advantage isn't easy.

Most of these stocks have been able to accomplish that through a combination of brand recognition and cachet, global distribution, and a differentiated business model.

Ulta, for example, has established itself as a beauty superstore, and its hair salons help draw traffic to its stores. E.l.f. has grown rapidly by selling prestige makeup dupes, or lookalikes, at value prices, as the company analyzes high-end beauty trends and makes similar-quality products. Interparfums has an asset-light business model of licensing name brands and developing and marketing fragrances and cosmetics under those names.

L'Oreal and Estee Lauder are global legacy giants with dozens of brands under their corporate umbrellas. Coty has turnaround potential, though it has thus far been unable to deliver for investors.

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Should you buy cosmetics stocks?

Cosmetics companies don't get much attention from the financial media and tend to be overlooked by most investors. However, the overall sector offers a combination of solid growth in a mature industry, as well as dividend income. Additionally, many of the companies generate high margins because of their brand licensing relationships and the luxury nature of many cosmetics products.

For most investors, it's worth taking a closer look at these cosmetics stocks since they offer something for almost every investing style.

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FAQ: Cosmetic Stocks

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About the Author

Jeremy Bowman has been a contributing Motley Fool stock market analyst, covering technology, consumer goods, and macroeconomic trends since 2011. Before The Motley Fool, Jeremy was a newspaper reporter, restaurant manager, and English teacher abroad. He holds a bachelor’s degree in English from Colorado College and a master’s degree in business administration from American University. One of his Motley Fool headlines was briefly featured on Late Night with Stephen Colbert.

TMFHobo

@TMFBowman

Jeremy Bowman has positions in Target. The Motley Fool has positions in and recommends Interparfums, Target, and Ulta Beauty. The Motley Fool recommends e.l.f. Beauty. The Motley Fool has a disclosure policy.

Best Cosmetic Stocks to Buy in 2026: Are They Right for Your Portfolio?

Key Points

Top makeup and beauty stocks to consider

1. Estée Lauder

Key Data Points

2. Coty

Key Data Points

3. Ulta Beauty

Key Data Points

4. L'Oreal

Key Data Points

5. e.l.f. Beauty

Key Data Points

Key Data Points

How to invest in cosmetic stocks

Benefits and risks of investing in cosmetic stocks

Methodology: How these stocks were chosen

Should you buy cosmetics stocks?

Related investing topics

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FAQ: Cosmetic Stocks

What are good beauty stocks to invest in?

What are good beauty stocks to invest in?

Is cosmetics a good investment?

Is cosmetics a good investment?

What is the most profitable cosmetics company?

What is the most profitable cosmetics company?

Should I invest in individual cosmetic stocks or ETFs?

Should I invest in individual cosmetic stocks or ETFs?

Is the cosmetics industry growing?

Is the cosmetics industry growing?

About the Author

Read Next

Stocks Mentioned

Motley Fool Stock Advisor’s Latest Pick

Premium Investing Services

Top makeup and beauty stocks to consider

Key Data Points

Key Data Points

Key Data Points

Key Data Points

Key Data Points

How to invest in cosmetic stocks

Benefits and risks of investing in cosmetic stocks

Methodology: How these stocks were chosen

Should you buy cosmetics stocks?

Best Stocks to Buy Now: Our Buy-and-Hold Picks for September 2026

Best Vegan Stocks to Buy in 2026: Are They Right For Your Portfolio?

7 Best Food Stocks for 2026 and How to Invest

Best Gym Stocks for 2026 and How to Invest

FAQ: Cosmetic Stocks

What are good beauty stocks to invest in?

What are good beauty stocks to invest in?

Is cosmetics a good investment?

Is cosmetics a good investment?

What is the most profitable cosmetics company?

What is the most profitable cosmetics company?

Should I invest in individual cosmetic stocks or ETFs?

Should I invest in individual cosmetic stocks or ETFs?

Is the cosmetics industry growing?

Is the cosmetics industry growing?

Key Data Points

3. Ulta Beauty

5. e.l.f. Beauty