Establishment Labs (NASDAQ:ESTA) Issues Earnings Results

Establishment Labs (NASDAQ:ESTA) issued its earnings results on Thursday. The company reported ($0.39) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.34) by ($0.05), FiscalAI reports. The business had revenue of $67.54 million during the quarter, compared to the consensus estimate of $65.79 million. Establishment Labs had a negative net margin of 19.05% and a negative return on equity of 218.77%. The firm’s revenue for the quarter was up 31.7% compared to the same quarter last year. During the same period last year, the business posted ($0.57) EPS.

Here are the key takeaways from Establishment Labs’ conference call:

• Positive Sentiment: Q2 revenue rose 31.7% year over year to $67.5 million, led by U.S. revenue growth of 140.9% to $24.7 million. Management raised full-year revenue guidance to $269 million-$271 million.
• Positive Sentiment: U.S. adoption of Motiva continued to accelerate, surpassing 100,000 implants and 2,000 customer accounts in under 21 months. Increasing utilization within existing accounts and growing patient requests for Motiva are supporting momentum.
• Positive Sentiment: The minimally invasive platform generated $12.1 million in Q2 revenue and is expected to approach 15% of full-year revenue. Preservé training exceeded expectations with more than 300 certified U.S. surgeons, while the company expects to train approximately 500 during 2026.
• Positive Sentiment: Profitability and cash generation improved substantially, with gross margin expanding to 70.6% and adjusted EBITDA turning positive at $3.7 million versus a prior-year loss of $8.5 million. Management expects to become free-cash-flow positive in the second half of 2026 and for fiscal 2027, without needing additional equity raises.
• Negative Sentiment: The third quarter is expected to reflect normal seasonal weakness, with the fourth quarter typically strongest. Middle East distributor demand has fallen because of regional conflict and is expected to remain depressed for the rest of the year, although the region represents less than 5% of revenue.

Establishment Labs Trading Down 13.4%

Shares of ESTA stock traded down $12.20 on Thursday, hitting $79.05. The stock had a trading volume of 1,151,900 shares, compared to its average volume of 554,274. The company has a fifty day moving average price of $86.29 and a two-hundred day moving average price of $74.23. The company has a current ratio of 2.96, a quick ratio of 1.91 and a debt-to-equity ratio of 16.82. The firm has a market cap of $2.33 billion, a P/E ratio of -53.05 and a beta of 1.07. Establishment Labs has a twelve month low of $33.35 and a twelve month high of $97.59.

Analyst Ratings Changes

A number of equities analysts have issued reports on ESTA shares. Mizuho raised their price objective on shares of Establishment Labs from $100.00 to $105.00 and gave the company an “outperform” rating in a research note on Wednesday, July 15th. Weiss Ratings reiterated a “sell (e+)” rating on shares of Establishment Labs in a research report on Wednesday, June 24th. Needham & Company LLC increased their price target on Establishment Labs from $86.00 to $95.00 and gave the company a “buy” rating in a research note on Thursday. Citigroup lifted their price objective on Establishment Labs from $76.00 to $92.00 and gave the stock a “neutral” rating in a research note on Wednesday, July 8th. Finally, BTIG Research upped their price objective on Establishment Labs from $96.00 to $103.00 and gave the company a “buy” rating in a report on Thursday. Seven equities research analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $98.38.

Hedge Funds Weigh In On Establishment Labs

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Quarry LP acquired a new stake in shares of Establishment Labs in the 3rd quarter valued at about $34,000. Kestra Advisory Services LLC bought a new position in shares of Establishment Labs during the fourth quarter worth about $47,000. Osaic Holdings Inc. grew its holdings in shares of Establishment Labs by 900.0% during the second quarter. Osaic Holdings Inc. now owns 2,000 shares of the company’s stock worth $85,000 after buying an additional 1,800 shares in the last quarter. PharVision Advisers LLC bought a new stake in Establishment Labs in the third quarter valued at approximately $203,000. Finally, Twinbeech Capital LP acquired a new stake in shares of Establishment Labs in the fourth quarter valued at approximately $214,000. 72.91% of the stock is owned by institutional investors and hedge funds.

Establishment Labs Company Profile

Establishment Labs Holdings Inc is a global medical technology company specializing in the design, development and manufacture of silicone gel breast implants for aesthetic and reconstructive surgery. The company’s proprietary portfolio is built around patient-focused safety, customization and innovation, offering solutions intended to enhance surgical outcomes and support clinical traceability.

The company’s flagship products fall under the Motiva® brand, which includes a range of ergonomic and round breast implants featuring SilkSurface® texturing and an embedded Q Inside® Safety microtransponder for unique implant identification.