Wall Street Zen Upgrades Establishment Labs (NASDAQ:ESTA) to Hold

Key Points

• Establishment Labs has been upgraded from a "sell" to a "hold" rating by Wall Street Zen, reflecting a more optimistic outlook on the company's stock.
• Multiple brokerages are also bullish, with Needham & Company and BTIG Research giving the stock a "buy" rating and setting target prices of $48.00 and $62.00, respectively.
• Establishment Labs reported a quarterly EPS of ($0.70), surpassing analysts' expectations, and achieved a revenue of $41.38 million, representing an 11.3% year-over-year increase.

Establishment Labs (NASDAQ:ESTA - Get Free Report) was upgraded by investment analysts at Wall Street Zen from a "sell" rating to a "hold" rating in a report issued on Saturday.

A number of other equities research analysts have also recently issued reports on the stock. BTIG Research assumed coverage on shares of Establishment Labs in a report on Friday, May 16th. They set a "buy" rating and a $62.00 target price on the stock. Mizuho raised their target price on shares of Establishment Labs from $58.00 to $70.00 and gave the stock an "outperform" rating in a report on Wednesday, July 16th. Citigroup raised their target price on shares of Establishment Labs from $38.00 to $47.00 and gave the stock a "neutral" rating in a report on Wednesday, July 9th. Finally, Needham & Company LLC reaffirmed a "buy" rating and issued a $48.00 price target on shares of Establishment Labs in a research note on Friday, June 13th. Two equities research analysts have rated the stock with a hold rating and five have given a buy rating to the stock. According to MarketBeat, the company currently has a consensus rating of "Moderate Buy" and an average target price of $54.83.

Establishment Labs Stock Performance

NASDAQ ESTA traded down $1.25 on Friday, reaching $41.23. The stock had a trading volume of 262,792 shares, compared to its average volume of 312,893. The company has a debt-to-equity ratio of 5.72, a current ratio of 3.36 and a quick ratio of 2.05. The company has a market cap of $1.19 billion, a P/E ratio of -13.30 and a beta of 0.80. The firm has a fifty day moving average of $40.09 and a two-hundred day moving average of $36.65. Establishment Labs has a 1-year low of $26.56 and a 1-year high of $50.85.

Establishment Labs (NASDAQ:ESTA - Get Free Report) last issued its quarterly earnings results on Wednesday, May 7th. The company reported ($0.70) earnings per share (EPS) for the quarter, topping analysts' consensus estimates of ($0.83) by $0.13. The firm had revenue of $41.38 million for the quarter, compared to the consensus estimate of $41.15 million. Establishment Labs had a negative net margin of 52.34% and a negative return on equity of 196.25%. The company's revenue for the quarter was up 11.3% on a year-over-year basis. During the same quarter in the previous year, the company earned ($0.58) EPS. On average, equities research analysts anticipate that Establishment Labs will post -2.41 EPS for the current year.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of ESTA. Elevation Point Wealth Partners LLC purchased a new stake in shares of Establishment Labs during the 1st quarter worth about $207,000. New York State Common Retirement Fund acquired a new stake in Establishment Labs in the first quarter valued at approximately $894,000. Northern Trust Corp grew its holdings in Establishment Labs by 53.9% in the fourth quarter. Northern Trust Corp now owns 28,165 shares of the company's stock valued at $1,298,000 after purchasing an additional 9,865 shares during the period. KLP Kapitalforvaltning AS acquired a new stake in Establishment Labs in the fourth quarter valued at approximately $161,000. Finally, Swiss National Bank grew its holdings in Establishment Labs by 2.7% in the fourth quarter. Swiss National Bank now owns 38,500 shares of the company's stock valued at $1,774,000 after purchasing an additional 1,000 shares during the period. 72.91% of the stock is currently owned by hedge funds and other institutional investors.

Establishment Labs Company Profile

Establishment Labs Holdings Inc, a medical technology company, manufactures and markets medical devices for aesthetic and reconstructive plastic surgery. The company primarily offers silicone gel-filled breast implants under the Motiva Implants brand. It also provides Motiva Ergonomix and Motiva Ergonomix2 gravity sensitive round soft silicone-gel-filled breast implants; and Motiva Flora Tissue Expander, a breast tissue expander.