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A Preview Of Betterware de Mexico SAPI's Earnings

Benzinga·07/23/2025 21:01:26
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Betterware de Mexico SAPI (NASDAQ:BWMX) is preparing to release its quarterly earnings on Thursday, 2025-07-24. Here's a brief overview of what investors should keep in mind before the announcement.

Analysts expect Betterware de Mexico SAPI to report an earnings per share (EPS) of $0.30.

The market awaits Betterware de Mexico SAPI's announcement, with hopes high for news of surpassing estimates and providing upbeat guidance for the next quarter.

It's important for new investors to understand that guidance can be a significant driver of stock prices.

Earnings Track Record

During the last quarter, the company reported an EPS missed by $0.25, leading to a 3.34% drop in the share price on the subsequent day.

Here's a look at Betterware de Mexico SAPI's past performance and the resulting price change:

Quarter Q1 2025 Q4 2024 Q3 2024 Q2 2024
EPS Estimate 0.45 0.31 0.50
EPS Actual 0.20 0.583 0.26 0.47
Price Change % -3.0% -3.0% 4.0% -5.0%

Performance of Betterware de Mexico SAPI Shares

Shares of Betterware de Mexico SAPI were trading at $9.43 as of July 17. Over the last 52-week period, shares are down 35.16%. Given that these returns are generally negative, long-term shareholders are likely bearish going into this earnings release.

Analyst Opinions on Betterware de Mexico SAPI

Understanding market sentiments and expectations within the industry is crucial for investors. This analysis delves into the latest insights on Betterware de Mexico SAPI.

Betterware de Mexico SAPI has received a total of 5 ratings from analysts, with the consensus rating as Buy. With an average one-year price target of $22.5, the consensus suggests a potential 138.6% upside.

Comparing Ratings with Competitors

The following analysis focuses on the analyst ratings and average 1-year price targets of GrowGeneration, Floor & Decor Hldgs and Home Depot, three prominent industry players, providing insights into their relative performance expectations and market positioning.

  • Analysts currently favor an Buy trajectory for GrowGeneration, with an average 1-year price target of $2.5, suggesting a potential 73.49% downside.
  • Analysts currently favor an Neutral trajectory for Floor & Decor Hldgs, with an average 1-year price target of $85.77, suggesting a potential 809.54% upside.
  • Analysts currently favor an Outperform trajectory for Home Depot, with an average 1-year price target of $426.0, suggesting a potential 4417.5% upside.

Key Findings: Peer Analysis Summary

The peer analysis summary presents essential metrics for GrowGeneration, Floor & Decor Hldgs and Home Depot, unveiling their respective standings within the industry and providing valuable insights into their market positions and comparative performance.

Company Consensus Revenue Growth Gross Profit Return on Equity
Betterware de Mexico SAPI Buy -2.87% $2.32B 13.66%
GrowGeneration Buy -25.44% $9.71M -8.11%
Floor & Decor Hldgs Neutral 5.78% $508.17M 2.23%
Home Depot Outperform 9.44% $13.46B 47.04%

Key Takeaway:

Betterware de Mexico SAPI ranks at the bottom for Revenue Growth among its peers. It is also at the bottom for Gross Profit. However, it is in the middle for Return on Equity.

Unveiling the Story Behind Betterware de Mexico SAPI

Betterware de Mexico SAPI de CV is a direct-to-consumer selling company. The company operates through two business segments: the home organization products (Betterware segment or BWM segment) and the beauty and personal care products (B and PC) (JAFRA segment). The Betterware's segment is divided in seven categories of the home organization: Kitchen and food preservation, Home solutions, Bedroom, Bathroom, Laundry & Cleaning, Tech & mobility and wellness. The JAFRA's segment is divided into four categories beauty and personal care: fragrance, color (cosmetics), skin care and toiletries. The company generates a majority of its revenue from the Beauty and personal care (B&PC) (JAFRA segment). Geographically, key revenue for the company is derived from Mexico.

Unraveling the Financial Story of Betterware de Mexico SAPI

Market Capitalization Analysis: Falling below industry benchmarks, the company's market capitalization reflects a reduced size compared to peers. This positioning may be influenced by factors such as growth expectations or operational capacity.

Decline in Revenue: Over the 3 months period, Betterware de Mexico SAPI faced challenges, resulting in a decline of approximately -2.87% in revenue growth as of 31 March, 2025. This signifies a reduction in the company's top-line earnings. As compared to competitors, the company surpassed expectations with a growth rate higher than the average among peers in the Consumer Discretionary sector.

Net Margin: Betterware de Mexico SAPI's net margin is impressive, surpassing industry averages. With a net margin of 4.33%, the company demonstrates strong profitability and effective cost management.

Return on Equity (ROE): Betterware de Mexico SAPI's ROE surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 13.66% ROE, the company effectively utilizes shareholder equity capital.

Return on Assets (ROA): The company's ROA is a standout performer, exceeding industry averages. With an impressive ROA of 1.43%, the company showcases effective utilization of assets.

Debt Management: Betterware de Mexico SAPI's debt-to-equity ratio surpasses industry norms, standing at 5.37. This suggests the company carries a substantial amount of debt, posing potential financial challenges.

To track all earnings releases for Betterware de Mexico SAPI visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.