Establishment Labs Holdings Inc. (NASDAQ:ESTA) Annual Results Just Came Out: Here's What Analysts Are Forecasting For This Year

The investors in Establishment Labs Holdings Inc.'s (NASDAQ:ESTA) will be rubbing their hands together with glee today, after the share price leapt 28% to US$42.87 in the week following its full-year results. Revenues were in line with expectations, at US$166m, while statutory losses ballooned to US$3.00 per share. Following the result, the analysts have updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. So we gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.

View our latest analysis for Establishment Labs Holdings

After the latest results, the seven analysts covering Establishment Labs Holdings are now predicting revenues of US$207.3m in 2025. If met, this would reflect a substantial 25% improvement in revenue compared to the last 12 months. Losses are predicted to fall substantially, shrinking 33% to US$2.01. Before this earnings announcement, the analysts had been modelling revenues of US$206.5m and losses of US$1.84 per share in 2025. So it's pretty clear consensus is mixed on Establishment Labs Holdings after the new consensus numbers; while the analysts held their revenue numbers steady, they also administered a moderate increase in per-share loss expectations.

As a result, there was no major change to the consensus price target of US$58.67, with the analysts implicitly confirming that the business looks to be performing in line with expectations, despite higher forecast losses. That's not the only conclusion we can draw from this data however, as some investors also like to consider the spread in estimates when evaluating analyst price targets. There are some variant perceptions on Establishment Labs Holdings, with the most bullish analyst valuing it at US$75.00 and the most bearish at US$42.00 per share. These price targets show that analysts do have some differing views on the business, but the estimates do not vary enough to suggest to us that some are betting on wild success or utter failure.

One way to get more context on these forecasts is to look at how they compare to both past performance, and how other companies in the same industry are performing. The analysts are definitely expecting Establishment Labs Holdings' growth to accelerate, with the forecast 25% annualised growth to the end of 2025 ranking favourably alongside historical growth of 15% per annum over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 7.8% annually. It seems obvious that, while the growth outlook is brighter than the recent past, the analysts also expect Establishment Labs Holdings to grow faster than the wider industry.

The Bottom Line

The most important thing to take away is that the analysts increased their loss per share estimates for next year. Happily, there were no major changes to revenue forecasts, with the business still expected to grow faster than the wider industry. The consensus price target held steady at US$58.67, with the latest estimates not enough to have an impact on their price targets.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have estimates - from multiple Establishment Labs Holdings analysts - going out to 2027, and you can see them free on our platform here.

That said, it's still necessary to consider the ever-present spectre of investment risk. We've identified 2 warning signs with Establishment Labs Holdings , and understanding these should be part of your investment process.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.