Establishment Labs Holdings (ESTA) AI Stock Analysis

• Market Cap: $1.01B
• Dividend Yield: N/A
• Average Volume (3M): 362.56K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.24
• Revenue Growth: 17.22%
• EPS Growth: 1.65%
• Country: US
• Employees: 1,034
• Sector: Healthcare
• Sector Strength: 38
• Industry: Medical - Devices
• EPS (TTM): -0.57
• Shares Outstanding: 28,970,736
• 10 Day Avg. Volume: 436,820
• 30 Day Avg. Volume: 362,561
• PEG Ratio: 6.73
• Price to Book (P/B): 24.44
• Price to Sales (P/S): 7.81
• P/FCF Ratio: -17.51
• Enterprise Value/Market Cap: 1.40
• Enterprise Value/Revenue: 8.29
• Enterprise Value/Gross Profit: 12.50
• Enterprise Value/Ebitda: -22.33
• 1Y Price Target: $54.00
• Price Target Upside: 60.57% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 7

• Rating: 51 Neutral
• Price Target: $35.00 ▲(4.07% Upside)

Establishment Labs Holdings faces significant challenges with profitability and financial stability, which weigh heavily on its overall stock score. Despite strong revenue growth and positive developments from recent corporate events, the stock's technical indicators and valuation metrics are concerning. The earnings call provided some optimism with raised revenue guidance and improved operating profitability, but these are balanced by market challenges and increased expenses.

Positive Factors

Market Demand

The demand for Motiva implants in the U.S. remains strong, with lengthy waitlists and no signs of a slowdown.

Revenue Growth

Management raised their 2025 revenue guidance modestly driven by increased US guidance.

Sales Performance

US Motiva contributed sales of $10.3M, exceeding ESTA's guidance.

Negative Factors

Adjusted EBITDA Margin

Adjusted EBITDA margin decreased by 740 basis points year over year due to spending on the US launch.

Sales Decline

Sales declined year-over-year in AsiaPac largely due to the China distributor order comp.

Establishment Labs Holdings Business Overview & Revenue Model

Company Description

Establishment Labs Holdings (ESTA) is a global medical technology company specializing in innovative solutions for the aesthetic and reconstructive surgery markets, particularly in breast aesthetics. The company is known for its flagship product line of silicone breast implants, which are designed to enhance both the safety and aesthetic outcomes for patients. In addition to breast implants, Establishment Labs develops and markets a range of complementary products and services that support surgeons and enhance patient care in the cosmetic and reconstructive surgery fields.

How the Company Makes Money

Establishment Labs generates revenue primarily through the sale of its silicone breast implants and related products to healthcare professionals and surgical centers. The company operates a direct sales model and has established a network of distributors globally, which helps in reaching a wider customer base. Key revenue streams include the sale of implants, ancillary products, and educational services for surgeons. Establishment Labs also benefits from partnerships with healthcare providers and institutions that facilitate the adoption of its products. Furthermore, the company invests in research and development to innovate and expand its product offerings, contributing to its competitive edge and potential revenue growth.

Establishment Labs Holdings Financial Statement Overview

Summary

Establishment Labs Holdings demonstrates strong revenue growth but struggles with profitability and financial stability. The company maintains a high gross profit margin but continues to report significant net losses. Debt levels have been reduced, which is positive, but the low equity base remains a concern. Cash flow from operations is negative, indicating reliance on external financing. Overall, the company faces challenges in achieving sustainable profitability and improving its financial stability.

Income Statement

The company has shown a consistent increase in revenue over the years, with a revenue growth rate of 2.53% from 2024 to TTM 2025. However, profitability remains a challenge, as indicated by the negative EBIT and net profit margins. The gross profit margin for TTM 2025 is relatively healthy at 66.34%, but the net income is deeply negative, leading to a net profit margin of -52.34%. The EBIT and EBITDA margins are also negative, indicating operational inefficiencies.

Balance Sheet

The balance sheet shows a high level of liabilities relative to equity, with a debt-to-equity ratio of 0.10 in TTM 2025, which is significantly lower than previous years, indicating reduced leverage. However, the company has a low return on equity (ROE) due to its negative net income. The equity ratio is low at 11.56% in TTM 2025, suggesting limited equity financing. The financial stability is a concern given the company's high liabilities and minimal equity.

Cash Flow

Cash flow analysis indicates negative free cash flow, though it has shown some growth with a free cash flow growth rate of 7.57% from 2024 to TTM 2025. The operating cash flow to net income ratio is less meaningful due to negative values for both metrics. The company relies heavily on financing activities to fund its operations, which could pose risks if financing becomes constrained.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	170.24M	166.03M	165.15M	161.70M	126.68M	84.68M
Gross Profit	112.95M	109.53M	106.98M	106.59M	85.40M	52.50M
EBITDA	-63.20M	-56.22M	-58.31M	-56.90M	-26.54M	-24.93M
Net Income	-89.10M	-84.60M	-78.50M	-75.21M	-41.14M	-38.12M
Balance Sheet
Total Assets	333.36M	346.83M	268.64M	211.06M	139.53M	156.39M
Cash, Cash Equivalents and Short-Term Investments	69.18M	90.35M	40.03M	66.36M	53.41M	84.52M
Total Debt	225.70M	225.29M	192.22M	178.66M	53.81M	51.76M
Total Liabilities	294.81M	293.74M	250.25M	219.25M	88.79M	81.43M
Stockholders Equity	38.55M	53.09M	18.39M	-8.19M	50.74M	74.96M
Cash Flow
Free Cash Flow	-69.53M	-74.08M	-113.06M	-86.43M	-34.26M	-16.42M
Operating Cash Flow	-68.12M	-58.52M	-88.51M	-52.17M	-27.53M	-12.51M
Investing Cash Flow	-10.33M	-15.61M	-24.55M	-34.79M	-7.16M	-5.56M
Financing Cash Flow	76.23M	125.89M	86.23M	100.25M	4.05M	64.67M

Establishment Labs Holdings Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 33.63
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ESTA, the sentiment is Negative. The current price of 33.63 is below the 20-day moving average (MA) of 41.44, below the 50-day MA of 40.54, and below the 200-day MA of 38.93, indicating a bearish trend. The MACD of -1.23 indicates Positive momentum. The RSI at 29.26 is Positive, neither overbought nor oversold. The STOCH value of 4.36 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ESTA.

Establishment Labs Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CNMD	74 Outperform	$1.69B	15.44	11.69%	1.46%	4.02%	11.32%
INMD	70 Outperform	$959.91M	5.59	25.91%	―	-3.62%	40.68%
AORT	68 Neutral	$1.75B	―	-5.01%	―	7.44%	-109.83%
BVS	57 Neutral	$572.14M	―	-0.10%	―	5.08%	99.38%
Sector *	51 Neutral	$7.35B	-0.20	-44.62%	2.33%	29.35%	-1.02%
ESTA	51 Neutral	$1.01B	―	-261.18%	―	17.22%	1.65%
SSII	51 Neutral	$1.31B	―	-39.11%	―	135.60%	66.47%

Establishment Labs Holdings Corporate Events

Establishment Labs Launches Motiva Implants in U.S.

On June 12, 2025, Establishment Labs Holdings Inc. held an analyst and investor event in New York City, where they announced the successful launch of Motiva implants in the United States, with over 1,000 surgeons now offering the product. The company projects $9.5 million to $10 million in sales for the second quarter of fiscal 2025 and plans to seek FDA approval for Motiva Implants for reconstruction use by the fourth quarter of 2025. Additionally, the launch of Preservé in the U.S. is anticipated in the first half of 2026. These developments are expected to strengthen the company’s position in the breast aesthetics and reconstruction market, with a focus on achieving significant growth and efficiency in operations.

The most recent analyst rating on (ESTA) stock is a Buy with a $48.00 price target. To see the full list of analyst forecasts on Establishment Labs Holdings stock, see the ESTA Stock Forecast page.

Establishment Labs Holds Annual Shareholder Meeting

On May 23, 2025, Establishment Labs Holdings held its Annual Meeting of Shareholders, where three key proposals were voted on. The election of directors saw Juan Jose Chacón Quirós, Ann Custin, Nicholas Lewin, Edward Schutter, and Bryan Slotkin elected to serve until the 2026 meeting. Additionally, the compensation of the named executive officers was approved on an advisory basis, and the appointment of CBIZ, CPAs P.C. as the independent registered public accounting firm for the fiscal year ending December 31, 2025, was ratified.

The most recent analyst rating on (ESTA) stock is a Buy with a $48.00 price target. To see the full list of analyst forecasts on Establishment Labs Holdings stock, see the ESTA Stock Forecast page.