Analyst Estimates: Here's What Brokers Think Of Evolus, Inc. (NASDAQ:EOLS) After Its First-Quarter Report

The analysts might have been a bit too bullish on Evolus, Inc. (NASDAQ:EOLS), given that the company fell short of expectations when it released its quarterly results last week. It was a pretty negative result overall, with revenues of US$69m missing analyst predictions by 5.4%. Additionally, the business reported a statutory loss of US$0.30 per share, larger than the analysts had forecast prior to the result. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year.

We've discovered 2 warning signs about Evolus. View them for free.

After the latest results, the seven analysts covering Evolus are now predicting revenues of US$349.4m in 2025. If met, this would reflect a substantial 27% improvement in revenue compared to the last 12 months. Losses are predicted to fall substantially, shrinking 26% to US$0.65. Before this latest report, the consensus had been expecting revenues of US$351.1m and US$0.59 per share in losses. So it's pretty clear consensus is mixed on Evolus after the new consensus numbers; while the analysts held their revenue numbers steady, they also administered a modest increase to per-share loss expectations.

Check out our latest analysis for Evolus

The consensus price target held steady at US$23.57, seemingly implying that the higher forecast losses are not expected to have a long term impact on the company's valuation. 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 Evolus, with the most bullish analyst valuing it at US$27.00 and the most bearish at US$20.00 per share. This is a very narrow spread of estimates, implying either that Evolus is an easy company to value, or - more likely - the analysts are relying heavily on some key assumptions.

Looking at the bigger picture now, one of the ways we can make sense of these forecasts is to see how they measure up against both past performance and industry growth estimates. We can infer from the latest estimates that forecasts expect a continuation of Evolus'historical trends, as the 37% annualised revenue growth to the end of 2025 is roughly in line with the 34% annual growth over the past five years. Compare this with the broader industry, which analyst estimates (in aggregate) suggest will see revenues grow 8.3% annually. So it's pretty clear that Evolus is forecast to grow substantially faster than its industry.

The Bottom Line

The most important thing to note is the forecast of increased losses next year, suggesting all may not be well at Evolus. Happily, there were no major changes to revenue forecasts, with the business still expected to grow faster than the wider industry. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.

Following on from that line of thought, we think that the long-term prospects of the business are much more relevant than next year's earnings. We have estimates - from multiple Evolus analysts - going out to 2027, and you can see them free on our platform here.

Plus, you should also learn about the 2 warning signs we've spotted with Evolus (including 1 which is a bit unpleasant) .

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

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.