Establishment Labs Holdings (NasdaqCM:ESTA) - Share price, News & Analysis

ESTA fundamental analysis
Snowflake Score
Valuation	0/6
Future Growth	5/6
Past Performance	0/6
Financial Health	6/6
Dividends	0/6

ESTA Stock Overview

Establishment Labs Holdings Inc., a medical technology company, manufactures and markets medical devices for aesthetic and reconstructive plastic surgery.

Rewards

Earnings are forecast to grow 74.23% per year

Risk Analysis

Shareholders have been diluted in the past year

Establishment Labs Holdings Competitors

Sientra

NasdaqGS:SIEN

US$73.3m

HansBiomed

KOSDAQ:A042520

₩100.1b

Price History & Performance

Summary of all time highs, changes and price drops for Establishment Labs Holdings
Historical stock prices
Current Share Price	US$57.60
52 Week High	US$93.80
52 Week Low	US$46.93
Beta	1.08
1 Month Change	-19.86%
3 Month Change	5.34%
1 Year Change	-16.55%
3 Year Change	119.43%
5 Year Change	n/a
Change since IPO	132.73%

Shareholder Returns

	ESTA	US Medical Equipment	US Market
7D	14.9%	3.0%	0.7%
1Y	-16.5%	-15.1%	-10.8%

Return vs Industry: ESTA matched the US Medical Equipment industry which returned -15.6% over the past year.

Return vs Market: ESTA underperformed the US Market which returned -10.4% over the past year.

Price Volatility

Is ESTA's price volatile compared to industry and market?
ESTA volatility
ESTA Average Weekly Movement	11.2%
Medical Equipment Industry Average Movement	10.3%
Market Average Movement	7.8%
10% most volatile stocks in US Market	16.8%
10% least volatile stocks in US Market	2.9%

Stable Share Price: ESTA is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 11% a week.

Volatility Over Time: ESTA's weekly volatility (11%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
2004	746	Juan Jose Chacon Quiros	https://www.establishmentlabs.com

Establishment Labs Holdings Inc., a medical technology company, manufactures and markets medical devices for aesthetic and reconstructive plastic surgery. The company primarily offers silicone gel-filled breast implants under Motiva Implants brand name. It also provides Motiva Ergonomix and Motiva Ergonomix2 gravity sensitive round soft silicone-gel-filled breast implants; and Motiva Flora Tissue Expander, a breast tissue expander, as well as distributes Puregraft line of products for autologous adipose tissue harvesting and redistribution.

Establishment Labs Holdings Fundamentals Summary

How do Establishment Labs Holdings's earnings and revenue compare to its market cap?
ESTA fundamental statistics
Market Cap	US$1.39b
Earnings (TTM)	-US$40.12m
Revenue (TTM)	US$134.80m

10.3x

P/S Ratio

-34.7x

P/E Ratio

Is ESTA overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
ESTA income statement (TTM)
Revenue	US$134.80m
Cost of Revenue	US$44.55m
Gross Profit	US$90.25m
Other Expenses	US$130.37m
Earnings	-US$40.12m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	-1.66
Gross Margin	66.95%
Net Profit Margin	-29.77%
Debt/Equity Ratio	109.7%

How did ESTA perform over the long term?

See historical performance and comparison

Valuation

Is Establishment Labs Holdings undervalued compared to its fair value and its price relative to the market?

Valuation Score

0/6

Valuation Score 0/6

Below Fair Value
Significantly Below Fair Value
PE vs Industry
PE vs Market
PEG Ratio
PB vs Industry

29.14x

Price to Book (PB) ratio

Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate ESTA's fair value for valuation analysis.

Significantly Below Fair Value: Insufficient data to calculate ESTA's fair value for valuation analysis.

Price To Earnings Ratio

PE vs Industry: ESTA is unprofitable, so we can't compare its PE Ratio to the US Medical Equipment industry average.

PE vs Market: ESTA is unprofitable, so we can't compare its PE Ratio to the US market.

Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate ESTA's PEG Ratio to determine if it is good value.

Price to Book Ratio

PB vs Industry: ESTA is overvalued based on its PB Ratio (29.1x) compared to the US Medical Equipment industry average (2.5x).

Future Growth

How is Establishment Labs Holdings forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

Future Growth Score

5/6

Future Growth Score 5/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

74.2%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: ESTA is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.9%).

Earnings vs Market: ESTA is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: ESTA's is expected to become profitable in the next 3 years.

Revenue vs Market: ESTA's revenue (27.5% per year) is forecast to grow faster than the US market (8% per year).

High Growth Revenue: ESTA's revenue (27.5% per year) is forecast to grow faster than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: Insufficient data to determine if ESTA's Return on Equity is forecast to be high in 3 years time

Past Performance

How has Establishment Labs Holdings performed over the past 5 years?

Past Performance Score

0/6

Past Performance Score 0/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

-5.6%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: ESTA is currently unprofitable.

Growing Profit Margin: ESTA is currently unprofitable.

Past Earnings Growth Analysis

Earnings Trend: ESTA is unprofitable, and losses have increased over the past 5 years at a rate of 5.6% per year.

Accelerating Growth: Unable to compare ESTA's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: ESTA is unprofitable, making it difficult to compare its past year earnings growth to the Medical Equipment industry (16.4%).

Return on Equity

High ROE: ESTA has a negative Return on Equity (-83.88%), as it is currently unprofitable.

Financial Health

How is Establishment Labs Holdings's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Stable Cash Runway
Forecast Cash Runway

Financial Position Analysis

Short Term Liabilities: ESTA's short term assets ($110.0M) exceed its short term liabilities ($36.5M).

Long Term Liabilities: ESTA's short term assets ($110.0M) exceed its long term liabilities ($57.2M).

Debt to Equity History and Analysis

Debt Level: ESTA's net debt to equity ratio (16.4%) is considered satisfactory.

Reducing Debt: ESTA had negative shareholder equity 5 years ago, but is now positive and has therefore improved.

Balance Sheet

Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: ESTA has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: ESTA has sufficient cash runway for 1.2 years if free cash flow continues to grow at historical rates of 6% each year.

Dividend

What is Establishment Labs Holdings's current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

Dividend Yield vs Market

Notable Dividend: Unable to evaluate ESTA's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate ESTA's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.

Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if ESTA's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if ESTA's dividend payments have been increasing.

Earnings Payout to Shareholders

Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as ESTA has not reported any payouts.

Next Steps

Explore strong dividend paying companies in the Healthcare industry.

Management

How experienced are the management team and are they aligned to shareholders interests?

1.0yrs

Average management tenure

CEO

Juan Jose Chacon Quiros (49 yo)

9.33yrs

Tenure

US$2,283,091

Compensation

Mr. Juan Jose Chacon Quiros Founded Establishment Labs, S.A. in 2004 and has been its Chief Executive Officer. Mr. Chacon Quiros has been Chief Executive Officer and Executive Director of Establishment Lab...

CEO Compensation Analysis

Compensation vs Market: Juan Jose's total compensation ($USD2.28M) is below average for companies of similar size in the US market ($USD5.45M).

Compensation vs Earnings: Juan Jose's compensation has increased whilst the company is unprofitable.

Leadership Team

Experienced Management: ESTA's management team is not considered experienced ( 1 years average tenure), which suggests a new team.

Board Members

Experienced Board: ESTA's board of directors are considered experienced (6.7 years average tenure).

Ownership

Who are the major shareholders and have insiders been buying or selling?

Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.

Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 2.2%.

Data	Last Updated (UTC time)
Company Analysis	2022/05/16 00:00
End of Day Share Price	2022/05/16 00:00
Earnings	2022/03/31
Annual Earnings	2021/12/31