Betterware de Mexico SAPI de C (NYSE:BWMX) Cut to Hold at Zacks Research

Key Points

• Zacks Research downgraded Betterware de Mexico (NYSE:BWMX) from a "strong‑buy" to a "hold," though other firms (Weiss, Freedom Capital) issued buy/strong‑buy ratings and the consensus rating remains Buy.
• The company missed Q4 EPS expectations, reporting $0.37 versus $0.55 estimated on $212.3M in revenue, while posting a high ROE of 87.1% and a net margin of 7.35%.
• Shares trade around $17 with a market cap of about $635.6M and a 52‑week range of $7.00–$19.79, but the balance sheet shows elevated leverage (debt‑to‑equity 2.46) and tight liquidity (current ratio 0.92) even as several institutional investors raised positions.

Betterware de Mexico SAPI de C (NYSE:BWMX - Get Free Report) was downgraded by Zacks Research from a "strong-buy" rating to a "hold" rating in a report released on Monday,Zacks.com reports.

Several other research firms also recently weighed in on BWMX. Weiss Ratings upgraded shares of Betterware de Mexico SAPI de C from a "hold (c+)" rating to a "buy (b-)" rating in a report on Monday, March 2nd. Freedom Capital upgraded shares of Betterware de Mexico SAPI de C to a "strong-buy" rating in a report on Friday, January 2nd. One equities research analyst has rated the stock with a Strong Buy rating, one has assigned a Buy rating and one has assigned a Hold rating to the company. According to data from MarketBeat.com, the company has an average rating of "Buy".

Betterware de Mexico SAPI de C Trading Down 0.2%

Shares of Betterware de Mexico SAPI de C stock opened at $17.03 on Monday. The stock has a market capitalization of $635.60 million, a PE ratio of 11.59 and a beta of 1.26. Betterware de Mexico SAPI de C has a 52 week low of $7.00 and a 52 week high of $19.79. The stock has a 50 day moving average price of $17.84 and a two-hundred day moving average price of $15.31. The company has a debt-to-equity ratio of 2.46, a quick ratio of 0.44 and a current ratio of 0.92.

Betterware de Mexico SAPI de C (NYSE:BWMX - Get Free Report) last issued its earnings results on Thursday, February 26th. The company reported $0.37 earnings per share for the quarter, missing analysts' consensus estimates of $0.55 by ($0.18). Betterware de Mexico SAPI de C had a return on equity of 87.14% and a net margin of 7.35%.The firm had revenue of $212.26 million for the quarter.

Hedge Funds Weigh In On Betterware de Mexico SAPI de C

Several hedge funds have recently modified their holdings of the company. Quattro Financial Advisors LLC boosted its stake in shares of Betterware de Mexico SAPI de C by 42.9% in the 4th quarter. Quattro Financial Advisors LLC now owns 50,000 shares of the company's stock worth $710,000 after buying an additional 15,000 shares during the last quarter. Goldman Sachs Group Inc. increased its position in shares of Betterware de Mexico SAPI de C by 11.5% during the fourth quarter. Goldman Sachs Group Inc. now owns 60,663 shares of the company's stock valued at $862,000 after acquiring an additional 6,274 shares during the last quarter. Finally, State Street Corp lifted its holdings in Betterware de Mexico SAPI de C by 7.0% during the fourth quarter. State Street Corp now owns 90,082 shares of the company's stock worth $1,280,000 after acquiring an additional 5,881 shares during the period. Institutional investors own 12.72% of the company's stock.

About Betterware de Mexico SAPI de C

Betterware de Mexico SAPI de C.V. is a Mexico City–based home solutions company that designs, sources and distributes a broad portfolio of organizational and household products. Through a direct-to-consumer model, Betterware offers storage and organization items, kitchenware, cleaning tools, personal care accessories and pet care products. The company leverages both digital channels and a catalog-driven distribution network to reach end customers, pairing an e-commerce platform with an independent sales advisor network.

Founded in 1995, Betterware has built a multi-channel sales infrastructure that relies on regional distribution centers and a large community of independent representatives.

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