Results: biote Corp. Exceeded Expectations And The Consensus Has Updated Its Estimates

One of the biggest stories of last week was how biote Corp. (NASDAQ:BTMD) shares plunged 26% in the week since its latest second-quarter results, closing yesterday at US$2.88. It looks like a credible result overall - although revenues of US$49m were what the analysts expected, biote surprised by delivering a (statutory) profit of US$0.10 per share, an impressive 58% above what was forecast. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. We've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.

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After the latest results, the consensus from biote's five analysts is for revenues of US$192.7m in 2025, which would reflect a discernible 3.2% decline in revenue compared to the last year of performance. Statutory earnings per share are expected to plunge 46% to US$0.54 in the same period. Before this earnings report, the analysts had been forecasting revenues of US$204.7m and earnings per share (EPS) of US$0.62 in 2025. The analysts seem less optimistic after the recent results, reducing their revenue forecasts and making a real cut to earnings per share numbers.

See our latest analysis for biote

It'll come as no surprise then, to learn that the analysts have cut their price target 22% to US$4.98. The consensus price target is just an average of individual analyst targets, so - it could be handy to see how wide the range of underlying estimates is. There are some variant perceptions on biote, with the most bullish analyst valuing it at US$6.00 and the most bearish at US$4.00 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.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the biote's past performance and to peers in the same industry. These estimates imply that revenue is expected to slow, with a forecast annualised decline of 6.3% by the end of 2025. This indicates a significant reduction from annual growth of 8.4% over the last three years. Compare this with our data, which suggests that other companies in the same industry are, in aggregate, expected to see their revenue grow 8.0% per year. It's pretty clear that biote's revenues are expected to perform substantially worse than the wider industry.

The Bottom Line

The biggest concern is that the analysts reduced their earnings per share estimates, suggesting business headwinds could lay ahead for biote. On the negative side, they also downgraded their revenue estimates, and forecasts imply they will perform worse than the wider industry. The consensus price target fell measurably, with the analysts seemingly not reassured by the latest results, leading to a lower estimate of biote's future valuation.

Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. At Simply Wall St, we have a full range of analyst estimates for biote going out to 2027, and you can see them free on our platform here..

Plus, you should also learn about the 6 warning signs we've spotted with biote (including 3 which are significant) .

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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.