Oddity (NASDAQ: ODD) Stock Downgraded by KeyBanc Amidst Significant Price Drop

Font: Financial Modeling Prep  • Jun 02, 2026

• Analyst firm KeyBanc has downgraded Oddity from Overweight to Sector Weight, impacting the beauty and wellness technology stock.
• The downgrade follows a substantial stock price decline, with Oddity's shares falling 31.1% after its recent earnings report and approximately 87% over the past year.
• Despite generating nearly $198 million in revenue, Oddity reported a non-GAAP loss of $0.17 per share for the first quarter, missing analyst expectations.

Analyst firm KeyBanc has downgraded Oddity (NASDAQ: ODD) from Overweight to Sector Weight. Oddity is a beauty and wellness technology company that focuses on the beauty and wellness market, using data and AI for its online brands. The rating change was published when Oddity’s stock price was $9.84.

The downgrade follows a significant drop in Oddity's stock price, which fell 31.1% after a major sell-off following its earnings report. As highlighted by The Motley Fool, this recent decline is part of a larger trend that has seen the stock fall by approximately 87% over the past year.

The sell-off was triggered by disappointing first-quarter results and weak forward guidance. Oddity reported a non-GAAP loss of $0.17 per share. This is a loss that does not follow standard accounting rules but can show underlying performance. This result was much worse than the break-even quarter analysts expected.

As highlighted by Zacks, the quarterly loss of $0.17 per share missed the consensus estimate of a $0.04 loss. This is a sharp reversal from the same period last year when the company earned $0.69 per share. The company’s net loss for the quarter was $21.4 million.

Despite the loss, Oddity generated revenue of nearly $198 million, which was about 5% better than expected. However, this revenue was a 26.2% decrease from the $268.1 million reported in the same quarter a year ago. The company also expects sales to fall between 25% and 30% in the current quarter.