How Raised Revenue Guidance and US Motiva Growth at Establishment Labs Holdings (ESTA) Has Changed Its Investment Story

• Earlier this month, Establishment Labs Holdings raised its 2025 revenue guidance to a range of US$208 million to US$212 million and reported second-quarter sales of US$51.3 million, up from US$44.12 million a year prior.
• An interesting aspect is the company's forecast of at least US$40 million in US Motiva revenue for the year, marking the growing importance of its US operations in total sales.
• We'll explore how the stronger full-year revenue outlook and US Motiva momentum could influence Establishment Labs Holdings' investment narrative.

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Establishment Labs Holdings Investment Narrative Recap

To be a shareholder in Establishment Labs Holdings, you need conviction in accelerating US adoption of Motiva implants and the company’s ability to expand revenue amid ongoing net losses and margin pressures. The recent upward revision of 2025 revenue guidance and stronger US Motiva sales may reinforce momentum, making US market penetration the most important short-term catalyst. However, persistent losses and high expenses continue to be a key risk and the latest news does not materially change this outlook.

Among recent announcements, the FDA approval of Motiva implants for the US market is highly relevant, as it underpins the sharp increase in forecast US Motiva revenue. This milestone supports the rising US sales contribution highlighted in the latest guidance, and the pace of US commercial ramp will remain crucial to near-term performance.

Yet in contrast, investors should be aware that ongoing high SG&A and R&D expenses could delay profitability if revenue growth does not...

Read the full narrative on Establishment Labs Holdings (it's free!)

Establishment Labs Holdings' narrative projects $381.5 million in revenue and $26.9 million in earnings by 2028. This requires a 29.1% yearly revenue growth rate and a $115.4 million earnings increase from current earnings of -$88.5 million.

Uncover how Establishment Labs Holdings' forecasts yield a $54.88 fair value, a 40% upside to its current price.

Exploring Other Perspectives

Three fair value views from the Simply Wall St Community range from US$12.98 up to more than US$1.79 million per share. This range exists while the company’s higher revenue outlook and strong US sales growth remain in focus for many, showing how differently investors may judge the value and future performance of Establishment Labs Holdings.

Explore 3 other fair value estimates on Establishment Labs Holdings - why the stock might be a potential multi-bagger!

Build Your Own Establishment Labs Holdings Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Establishment Labs Holdings research is our analysis highlighting 1 key reward and 1 important warning sign that could impact your investment decision.
• Our free Establishment Labs Holdings research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Establishment Labs Holdings' overall financial health at a glance.

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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.

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