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Allurion Technologies (ALUR)
NYSE:ALUR
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Allurion Technologies
(NYSE:ALUR)
41Neutral
Positive Factors
Combination Therapy
ALUR has announced favorable initial results for the combination of the Allurion Program and low-dose GLP-1s.
Regulatory Clearance
The Allurion Balloon has been cleared to resume sales in France, removing a major overhang on the international business.
Strategic Growth
Allurion Technologies, Inc. is reorganizing its sales and marketing teams, hiring new representatives, and establishing new relationships with distributors, indicating a strategic push for growth.
Negative Factors
Market Re-commercialization
The re-commercialization of accounts in the French market is expected to be a slow process and won't provide significant revenue until 2026.
Revenue Performance
Sales of $5.6MM were below the estimate of $6.5MM, indicating underperformance.
Stock Valuation
The price target for Allurion Technologies, Inc. has been significantly lowered to $6 from the previous $16, reflecting a recent contraction in small-cap valuations.
Allurion Technologies (ALUR) vs. S&P 500 (SPY)
Market Cap
$15.27M
Dividend YieldN/A
Average Volume (3M)2.80M
Price to Earnings (P/E)―
Beta (1Y)2.80
Revenue Growth-18.49%
EPS Growth91.09%
CountryUS
Employees134
SectorHealthcare
Sector Strength71
IndustryMedical - Devices
Share Statistics
EPS (TTM)-9.74
Shares Outstanding5,963,549
10 Day Avg. Volume128,539
30 Day Avg. Volume2,797,613
Financial Highlights & Ratios
PEG RatioN/A
Price to Book (P/B)N/A
Price to Sales (P/S)0.37
Price to Cash Flow (P/CF)-0.20
P/FCF Ratio0.00
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
$10.63Price Target Upside342.92% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering4
Allurion Technologies Business Overview & Revenue Model
Company DescriptionAllurion Technologies Inc. focuses on ending obesity with a weight loss platform to treat people who are overweight. Its platform, the Allurion Program, features swallowable and procedure-less intragastric balloon for weight loss (the Allurion Balloon) and offers access to AI-powered remote patient monitoring tools, a proprietary behavior change program, secure messaging, and video telehealth that are delivered by the Allurion Virtual Care Suite. The company is headquartered in Natick, Massachusetts.
How the Company Makes MoneyAllurion Technologies generates revenue primarily through the sale of its Allurion Program, which includes the Allurion Balloon and associated services. The company partners with healthcare providers and clinics to distribute its program, earning revenue from these partnerships. Additionally, Allurion may benefit from recurring revenue streams through follow-up services, including nutritional guidance and digital health tools, which are part of the holistic weight loss program offered to clients. Strategic partnerships with medical institutions and clinics also play a significant role in expanding their market reach and driving sales.
Allurion Technologies Financial Statement Overview
Summary
Allurion Technologies faces significant financial challenges, with declining revenue, persistent losses, high leverage, and negative cash flows. Strategic changes are necessary to stabilize and improve financial health.Income Statement
Allurion Technologies has experienced significant revenue fluctuations, with a notable decline from 2022 to 2023. The company faces negative profit margins, including a negative gross profit margin in 2024, and sustained losses in net income, EBIT, and EBITDA, indicating ongoing challenges in achieving profitability.35
Negative
Balance Sheet
The balance sheet reveals a concerning financial structure, with negative stockholders' equity and high leverage as indicated by a high debt-to-equity ratio. The equity ratio is negative, reflecting a risk of insolvency, compounded by the decline in assets and insufficient equity to cover liabilities.25
Negative
Cash Flow
Cash flow analysis shows persistently negative operating and free cash flows, signaling liquidity issues. The company has relied heavily on financing activities to fund operations, which is unsustainable in the long term without improved financial performance.30
Negative
| Breakdown | |||||
| TTM | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|---|
| Income Statement | Total Revenue | ||||
| 34.75M | 32.11M | 53.47M | 64.21M | 38.24M | 0.00 | Gross Profit |
| 25.13M | 21.50M | 41.50M | 50.73M | 29.19M | 0.00 | EBIT |
| -58.62M | -50.20M | -79.08M | -32.01M | -12.50M | -5.17K | EBITDA |
| -17.71M | -50.20M | -69.03M | -32.28M | -12.35M | -5.17K | Net Income Common Stockholders |
| -24.76M | -26.15M | -82.30M | -37.74M | -12.39M | -5.17K |
| Balance Sheet | Cash, Cash Equivalents and Short-Term Investments | ||||
| 38.04M | 15.38M | 38.04M | 7.68M | 25.84M | 47.09K | Total Assets |
| 71.71M | 32.81M | 71.71M | 51.37M | 39.35M | 329.96K | Total Debt |
| 41.86M | 37.92M | 41.86M | 59.53M | 26.14M | 170.00K | Net Debt |
| 3.82M | 22.54M | 3.82M | 51.85M | 300.00K | 122.91K | Total Liabilities |
| 142.20M | 110.79M | 142.20M | 122.81M | 73.64M | 310.13K | Stockholders Equity |
| -70.49M | -77.98M | -70.49M | -71.44M | -34.28M | 19.83K |
| Cash Flow | Free Cash Flow | ||||
| -50.91M | -42.91M | -65.59M | -48.53M | -15.24M | ― | Operating Cash Flow |
| -49.90M | -42.30M | -63.98M | -46.98M | -14.33M | ― | Investing Cash Flow |
| -1.01M | -611.00K | -1.61M | -1.55M | -912.00K | 0.00 | Financing Cash Flow |
| -147.00K | 20.21M | 95.99M | 30.54M | 28.95M | 47.13K |
Allurion Technologies Technical Analysis
Negative
2.40
Price Trends
3.45
Negative
5.65
Negative
12.16
Negative
Market Momentum
-0.25
Positive
38.28
Neutral
23.15
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ALUR, the sentiment is Negative. The current price of 2.4 is below the 20-day moving average (MA) of 2.89, below the 50-day MA of 3.45, and below the 200-day MA of 12.16, indicating a bearish trend. The MACD of -0.25 indicates Positive momentum. The RSI at 38.28 is Neutral, neither overbought nor oversold. The STOCH value of 23.15 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ALUR.
Allurion Technologies Risk Analysis
Allurion Technologies disclosed 83 risk factors in its most recent earnings report. Allurion Technologies reported the most risks in the “Finance & Corporate” category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Allurion Technologies Peers Comparison
Overall Rating
UnderperformOutperform
Sector (50)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
69 Neutral | $4.39B | 85.11 | 8.48% | ― | 28.49% | ― | |
67 Neutral | $317.12M | 19.29 | 8.27% | ― | 6.76% | -41.38% | |
60 Neutral | $3.24B | ― | -75.27% | ― | 20.13% | 10.05% | |
50 Neutral | $5.51B | 2.95 | -43.70% | 2.78% | 16.94% | 3.59% | |
45 Neutral | $612.17M | ― | -37.28% | ― | 24.51% | 47.32% | |
43 Neutral | $1.82B | ― | -46.67% | ― | 18.82% | 19.76% | |
41 Neutral | $15.27M | ― | 38.80% | ― | -18.49% | 91.09% |
* Healthcare Sector Average
Performance Comparison
ALUR
Allurion Technologies
2.40
-51.85
-95.58%
NVCR
NovoCure
16.46
4.41
36.60%
TCMD
Tactile Systems Technology
13.35
-0.81
-5.72%
IRTC
Irhythm Technologies
100.75
-10.74
-9.63%
INSP
Inspire Medical Systems
146.24
-97.27
-39.94%
BFLY
Butterfly Network
2.52
1.70
207.32%
Allurion Technologies Earnings Call Summary
Earnings Call Date: Mar 26, 2025 | % Change Since: -22.83% | Next Earnings Date: May 20, 2025
Earnings Call Sentiment Neutral
The earnings call presented a balanced view with key achievements in procedure volume growth, successful combination therapy results, and operational restructuring leading to reduced expenses. However, these were countered by significant revenue and gross profit margin declines, as well as a notable loss from operations.Highlights
Procedure Volume Growth
In 2024, procedure volumes grew by 4%, exceeding previous guidance. This growth is attributed to patients entering the funnel after discontinuing GLP-1 medications.
Operating Expense Reduction
Operating expenses decreased by 39% in Q4 2024 compared to the previous year, showing the positive impact of restructuring and reorganization initiatives.
Successful Combination Therapy
Studies showed promising results for the Allurion Balloon combined with low dose GLP-1s, leading to significant weight loss and muscle mass preservation.
Commercial Plan Progress
Significant progress in implementing a new commercial plan focused on key geographies and a B2B2C sales model, with procedure volumes in pilot accounts set to increase by over 30% in Q1 2025 compared to Q4 2024.
Resumption of Sales in France
Sales in France have resumed after regulatory clearance, with plans to reengage with clinics to serve patients.
Lowlights
Revenue Decline
Q4 2024 revenue was $5.6 million, down from $8.2 million in Q4 2023, primarily due to the temporary suspension of sales in France and macroeconomic headwinds.
Gross Profit Margin Decrease
Q4 2024 gross profit was 45% of revenue, down from 78% in Q4 2023, impacted by reduced revenue and lower production volumes.
Loss from Operations
Loss from operations for Q4 2024 was $17.1 million, an improvement from $25.7 million in Q4 2023, but still a significant loss.
Company Guidance
In the recent earnings call, Allurion Technologies provided several key metrics and insights regarding its performance and strategic plans. For the fourth quarter of 2024, the company reported revenue of $5.6 million, contributing to a total annual revenue of $32.1 million. Despite a 39% reduction in operating expenses compared to the previous year, procedure volumes increased by 4%, exceeding prior guidance. Allurion is focusing on a new commercial strategy emphasizing a business-to-business-to-consumer (B2B2C) approach and aims to expand its sales team in 2025. The company expects operating expenses to decrease by approximately 50% in 2025, targeting revenues of around $30 million. Additionally, Allurion plans to achieve profitability for its ex-US business by the end of 2025, with efforts underway to secure FDA approval for its Allurion Balloon. The financial restructuring and new commercial strategies are anticipated to drive growth and efficiency as the company progresses towards its long-term goals.Allurion Technologies Corporate Events
Private Placements and FinancingBusiness Operations and Strategy
Allurion Technologies Enhances Financial Agreements and Governance
Positive
Jan 8, 2025
Allurion Technologies announced an Omnibus Amendment to its existing financial agreements, which includes maintaining certain cash balances and revenue requirements. It also entails securing marketing authorizations in France and the U.S. for its products. The amendment allows investors to receive common stock or preferred shares, and it grants the right for investor representatives to join the board of directors, indicating a strategic move to strengthen financial and operational stability.
Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.