Earnings Outlook For Betterware de Mexico SAPI

Betterware de Mexico SAPI BWMX will release its quarterly earnings report on Thursday, 2024-10-24. Here's a brief overview for investors ahead of the announcement.

Analysts anticipate Betterware de Mexico SAPI to report an earnings per share (EPS) of $0.41.

Anticipation surrounds Betterware de Mexico SAPI's announcement, with investors hoping to hear about both surpassing estimates and receiving positive guidance for the next quarter.

New investors should understand that while earnings performance is important, market reactions are often driven by guidance.

Earnings Track Record

During the last quarter, the company reported an EPS missed by $0.03, leading to a 5.41% drop in the share price on the subsequent day.

Here's a look at Betterware de Mexico SAPI's past performance and the resulting price change:

Tracking Betterware de Mexico SAPI's Stock Performance

Shares of Betterware de Mexico SAPI were trading at $12.35 as of October 22. Over the last 52-week period, shares are down 28.76%. Given that these returns are generally negative, long-term shareholders are likely unhappy going into this earnings release.

Analyst Insights on Betterware de Mexico SAPI

Understanding market sentiments and expectations within the industry is crucial for investors. This analysis delves into the latest insights on Betterware de Mexico SAPI.

Betterware de Mexico SAPI has received a total of 5 ratings from analysts, with the consensus rating as Buy. With an average one-year price target of $22.5, the consensus suggests a potential 82.19% upside.

Peer Ratings Comparison

This comparison focuses on the analyst ratings and average 1-year price targets of GrowGeneration, Floor & Decor Hldgs and Home Depot, three major players in the industry, shedding light on their relative performance expectations and market positioning.

• As per analysts' assessments, GrowGeneration is favoring an Neutral trajectory, with an average 1-year price target of $2.75, suggesting a potential 77.73% downside.
• The consensus outlook from analysts is an Neutral trajectory for Floor & Decor Hldgs, with an average 1-year price target of $102.33, indicating a potential 728.58% upside.
• The prevailing sentiment among analysts is an Buy trajectory for Home Depot, with an average 1-year price target of $406.59, implying a potential 3192.23% upside.

Summary of Peers Analysis

The peer analysis summary offers a detailed examination of key metrics for GrowGeneration, Floor & Decor Hldgs and Home Depot, providing valuable insights into their respective standings within the industry and their market positions and comparative performance.

Key Takeaway:

Betterware de Mexico SAPI ranks at the top for Revenue Growth and Gross Profit among its peers. It is in the middle for Return on Equity.

Discovering Betterware de Mexico SAPI: A Closer Look

Betterware de Mexico SAPI de CV is a direct-to-consumer selling company. The company operates through two business segments: the home organization products (Betterware segment or BWM segment) and the beauty and personal care products (B and PC) (JAFRA segment). The Betterware's segment is divided into different categories based on the type of products it sells and includes, kitchen and food preservation, home solutions, bathroom, laundry & cleaning, tech and mobility, and bedroom and wellness products. The JAFRA's segment is divided into fragrance, color, skincare, and toiletries products. The company generates a majority of its revenue from the Beauty and personal care (B&PC) (JAFRA segment). Geographically, key revenue for the company is derived from Mexico.

A Deep Dive into Betterware de Mexico SAPI's Financials

Market Capitalization Analysis: Positioned below industry benchmarks, the company's market capitalization faces constraints in size. This could be influenced by factors such as growth expectations or operational capacity.

Revenue Growth: Betterware de Mexico SAPI's revenue growth over a period of 3 months has been noteworthy. As of 30 June, 2024, the company achieved a revenue growth rate of approximately 5.26%. This indicates a substantial increase in the company's top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Consumer Discretionary sector.

Net Margin: Betterware de Mexico SAPI's financial strength is reflected in its exceptional net margin, which exceeds industry averages. With a remarkable net margin of 8.87%, the company showcases strong profitability and effective cost management.

Return on Equity (ROE): Betterware de Mexico SAPI's ROE is below industry averages, indicating potential challenges in efficiently utilizing equity capital. With an ROE of 19.61%, the company may face hurdles in achieving optimal financial returns.

Return on Assets (ROA): The company's ROA is a standout performer, exceeding industry averages. With an impressive ROA of 2.75%, the company showcases effective utilization of assets.

Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 3.46.

To track all earnings releases for Betterware de Mexico SAPI visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.