Olaplex Holdings, Inc.

Olaplex is the professional hair-care brand that had a dramatic decline after its 2021 IPO. The stock is at $2.07 up 52% year-to-date on early turnaround signs but overhung by continued litigation.

• Q1 was steady: revenue was $99.4M up 2.5% year-over-year with a -5% operating margin — that's modest growth for a business that had been declining, and the operating margin is close to break-even from prior negative levels.
• The shareholder derivative settlement is a specific overhang resolution: Notice of Settlement of Shareholder Derivative Actions — that's specific litigation-risk removal that could support the direction if terms are reasonable.
• The Ademi LLP investigation is a specific counter-signal: Shareholder Alert: Ademi LLP investigates whether Olaplex Holdings is obtaining a Fair Price for Public Shareholders — that suggests a specific M&A speculation that could either result in a take-private transaction or a rejected offer.
• The State of Alaska Department of Revenue sale is meaningful supply: State of Alaska sold OLPX shares — that's specific institutional-selling pressure from a sovereign-adjacent investor.

The next real test is the August 6 Q2 earnings print combined with any specific M&A commentary — a maintained low-single-digit revenue growth plus specific commentary on the Ademi LLP inquiry runs the tape past $3; a soft print or a specific M&A rejection triggers a give-back to $1.20. Watch same-store DTC sales, professional-channel trends, and any specific M&A or Ademi-related announcement as the primary drivers.