Skincare company BeautyHealth (NASDAQ:SKIN) will be reporting earnings tomorrow after market close. Here’s what to look for.
Last quarter BeautyHealth reported revenues of $97.4 million, up 9.7% year on year, missing analyst expectations by 17%. It was a weak quarter for the company, with full-year revenue guidance missing analysts’ expectations. In addition, its revenue, EBITDA, and EPS missed Wall Street’s estimates.
Is BeautyHealth buy or sell heading into the earnings? Read our full analysis here, it’s free.
This quarter analysts are expecting BeautyHealth’s revenue to decline 10.7% year on year to $87.61 million, a deceleration on the 26% year-over-year increase in revenue the company had recorded in the same quarter last year. Adjusted loss is expected to come in at -$0.07 per share.
Majority of analysts covering the company have reconfirmed their estimates over the last thirty days, suggesting they are expecting the business to stay the course heading into the earnings. The company missed Wall St’s revenue estimates twice over the last two years.
Looking at BeautyHealth’s peers in the personal care segment, some of them have already reported Q4 earnings results, giving us a hint of what we can expect. Inter Parfums delivered top-line growth of 5.8% year on year, beating analyst estimates by 1.5% and Edgewell Personal Care reported revenues up 4.2% year on year, exceeding estimates by 1.6%. Both stocks traded flat after the results (Inter Parfums and Edgewell Personal Care).
Read our full analysis of Inter Parfums’s results here and Edgewell Personal Care’s results here.
Investors in the personal care segment have had steady hands going into the earnings, with the stocks up on average 0.5% over the last month. BeautyHealth is up 16.9% during the same time, and is heading into the earnings with analyst price target of $4.3, compared to share price of $3.6.
Here at StockStory, we certainly understand the potential of thematic investing. Diverse winners from Microsoft (MSFT) to Alphabet (GOOG), Coca-Cola (KO) to Monster Beverage (MNST) could all have been identified as promising growth stories with a megatrend driving the growth. So, in that spirit, we’ve identified a relatively under-the-radar profitable growth stock benefitting from the rise of AI, available to you FREE via this link.