Cantor Fitzgerald Expects Reduced Earnings for Avita Medical

Key Points

• Cantor Fitzgerald has revised its FY2025 earnings estimate for Avita Medical, expecting a loss of ($1.16) per share, an increase in projected losses from a previous forecast of ($0.99) per share.
• Recent stock analysis shows a trend of downgrades, with multiple firms reducing their price targets for Avita Medical, including Lake Street Capital lowering it from $14.00 to $8.00.
• Avita Medical's stock performance has been lackluster, trading down 0.9% to $5.75, with a significant drop in earnings reported recently that missed consensus estimates.

Avita Medical Inc. (NASDAQ:RCEL - Free Report) - Stock analysts at Cantor Fitzgerald dropped their FY2025 earnings per share estimates for Avita Medical in a research report issued to clients and investors on Wednesday, August 13th. Cantor Fitzgerald analyst R. Osborn now expects that the company will post earnings per share of ($1.16) for the year, down from their prior forecast of ($0.99). The consensus estimate for Avita Medical's current full-year earnings is ($0.95) per share. Cantor Fitzgerald also issued estimates for Avita Medical's FY2026 earnings at ($0.27) EPS.

Several other research firms have also recently commented on RCEL. Lake Street Capital cut their target price on Avita Medical from $14.00 to $8.00 and set a "buy" rating on the stock in a research note on Monday. D. Boral Capital cut their target price on Avita Medical from $19.00 to $18.00 and set a "buy" rating on the stock in a research note on Friday, August 8th. BTIG Research cut Avita Medical from a "neutral" rating to a "sell" rating and set a $3.00 price objective on the stock. in a research note on Friday, August 8th. Finally, Wall Street Zen cut Avita Medical from a "hold" rating to a "sell" rating in a research note on Saturday, August 9th. Two equities research analysts have rated the stock with a sell rating, one has assigned a hold rating and three have issued a buy rating to the company. According to data from MarketBeat.com, the stock has a consensus rating of "Hold" and a consensus price target of $12.40.

Avita Medical Stock Down 0.9%

Shares of NASDAQ:RCEL traded down $0.05 during trading on Friday, hitting $5.75. 31,345 shares of the company's stock traded hands, compared to its average volume of 274,145. Avita Medical has a 52 week low of $3.60 and a 52 week high of $14.16. The company has a current ratio of 0.58, a quick ratio of 1.72 and a debt-to-equity ratio of 9.39. The company has a market cap of $153.07 million, a price-to-earnings ratio of -2.91 and a beta of 1.63. The company has a 50-day moving average price of $5.47 and a 200-day moving average price of $7.44.

Avita Medical (NASDAQ:RCEL - Get Free Report) last posted its earnings results on Thursday, August 7th. The company reported ($0.38) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.26) by ($0.12). The company had revenue of $18.42 million for the quarter, compared to analyst estimates of $34.27 million. Avita Medical had a negative return on equity of 1,272.91% and a negative net margin of 68.87%.

Hedge Funds Weigh In On Avita Medical

Large investors have recently bought and sold shares of the company. BNP Paribas Financial Markets acquired a new stake in shares of Avita Medical in the fourth quarter valued at about $38,000. CWM LLC increased its stake in shares of Avita Medical by 1,099.5% in the first quarter. CWM LLC now owns 4,918 shares of the company's stock valued at $40,000 after buying an additional 4,508 shares during the period. GAMMA Investing LLC increased its stake in shares of Avita Medical by 688.9% in the first quarter. GAMMA Investing LLC now owns 6,374 shares of the company's stock valued at $52,000 after buying an additional 5,566 shares during the period. Meeder Asset Management Inc. acquired a new stake in shares of Avita Medical in the first quarter valued at about $53,000. Finally, The Manufacturers Life Insurance Company bought a new stake in Avita Medical in the second quarter worth approximately $58,000. 27.66% of the stock is currently owned by institutional investors.

Avita Medical Company Profile

AVITA Medical, Inc, together with its subsidiaries, operates as a regenerative medicine company in the United States and internationally. The company's lead product is the RECELL System, a cell harvesting device used for the treatment of thermal burn wounds, full-thickness skin defects, and repigmentation of stable depigmented vitiligo lesions.

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