1、North America Equity Research17 October 2025J P M O R G A NOddityFrom Beauty to Healthcare MethodIQ(Brand 3)Deep DiveOverweightODD,ODD USPrice(16 Oct 25):$49.89Price Target(Dec-25):$82.00Internet SMID&Video GamesCory A Carpenter AC(1-212)270-Daniel Pfeiffer(1-212)622-Andrew Watts(1-212)622-J.P.Morga

2、n Securities LLCQuarterly Forecasts(FYE Dec)Adj.EPS ($)2024A2025E2026EQ10.610.69AQ20.820.92AQ30.320.37Q40.200.14FY1.962.102.51Style ExposureOdditys medical-grade dermatology brand MethodIQ is now available in beta,and in this note we take a closer look at the brand ahead of the formal launch expecte

3、d later in 4Q.Oddity has a strong track record of new brand launches(SpoiledChild),but MethodIQ is the companys most ambitious brand launch to date.MethodIQs online direct-to-consumer model is similar to Odditys two existing beauty brands,but MethodIQ represents Odditys first expansion into healthca

4、re and the offering is more complex with a companion mobile app and prescription products.The stakes are high as Oddity has been investing in MethodIQ for nearly four years,with upfront costs likely well above the$20M to launch SpoiledChild.If MethodIQ succeeds,Oddity will be able to leverage the te

5、lehealth platform it built for the brand to expand into other healthcare verticals.Weve been surprised by the lack of investor enthusiasm for the brand launch,with shares under pressure in recent weeks.Our time with the MethodIQ beta offering reinforces our view that the Street could be sleeping on

6、a potential positive catalyst.We project MethodIQ brand revenue of$25M in 2026 and$55M in 2027,which is more conservative than SpoiledChilds trajectory and could drive upside to Odditys 20%annual growth target.We reiterate our Overweight rating and establish a December 2026 price target of$82,which