The Analyst Verdict: Betterware de Mexico SAPI In The Eyes Of 5 Experts

Betterware de Mexico SAPI (NASDAQ:BWMX) has been analyzed by 5 analysts in the last three months, revealing a diverse range of perspectives from bullish to bearish.

The following table summarizes their recent ratings, shedding light on the changing sentiments within the past 30 days and comparing them to the preceding months.

In the assessment of 12-month price targets, analysts unveil insights for Betterware de Mexico SAPI, presenting an average target of $22.5, a high estimate of $22.50, and a low estimate of $22.50. Staying constant with the previous average price target, the current average remains unchanged.

Breaking Down Analyst Ratings: A Detailed Examination

A clear picture of Betterware de Mexico SAPI's perception among financial experts is painted with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to Betterware de Mexico SAPI. This offers insight into analysts' perspectives on the current state of the company.
• Rating: Unveiling insights, analysts deliver qualitative insights into stock performance, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Betterware de Mexico SAPI compared to the broader market.
• Price Targets: Analysts gauge the dynamics of price targets, providing estimates for the future value of Betterware de Mexico SAPI's stock. This comparison reveals trends in analysts' expectations over time.

Understanding these analyst evaluations alongside key financial indicators can offer valuable insights into Betterware de Mexico SAPI's market standing. Stay informed and make well-considered decisions with our Ratings Table.

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Discovering Betterware de Mexico SAPI: A Closer Look

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 into different categories based on the type of products it sells and includes, kitchen and food preservation, home solutions, bathroom, laundry & cleaning, tech and mobility, and bedroom and wellness products. The JAFRA's segment is divided into fragrance, color, skincare, and toiletries products. 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.

Breaking Down Betterware de Mexico SAPI's Financial Performance

Market Capitalization Analysis: The company's market capitalization is below the industry average, suggesting that it is relatively smaller compared to peers. This could be due to various factors, including perceived growth potential or operational scale.

Revenue Growth: Betterware de Mexico SAPI's remarkable performance in 3 months is evident. As of 31 March, 2024, the company achieved an impressive revenue growth rate of 10.36%. This signifies a substantial increase in the company's top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Consumer Discretionary sector.

Net Margin: Betterware de Mexico SAPI's financial strength is reflected in its exceptional net margin, which exceeds industry averages. With a remarkable net margin of 8.16%, the company showcases strong profitability and effective cost management.

Return on Equity (ROE): Betterware de Mexico SAPI's ROE lags behind industry averages, suggesting challenges in maximizing returns on equity capital. With an ROE of 19.7%, the company may face hurdles in achieving optimal financial performance.

Return on Assets (ROA): Betterware de Mexico SAPI's ROA stands out, surpassing industry averages. With an impressive ROA of 2.68%, the company demonstrates effective utilization of assets and strong financial performance.

Debt Management: Betterware de Mexico SAPI's debt-to-equity ratio is below the industry average at 3.6, reflecting a lower dependency on debt financing and a more conservative financial approach.

Understanding the Relevance of Analyst Ratings

Experts in banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their comprehensive research involves attending company conference calls and meetings, analyzing financial statements, and engaging with insiders to generate what are known as analyst ratings for stocks. Typically, analysts assess and rate each stock once per quarter.

Beyond their standard evaluations, some analysts contribute predictions for metrics like growth estimates, earnings, and revenue, furnishing investors with additional guidance. Users of analyst ratings should be mindful that this specialized advice is shaped by human perspectives and may be subject to variability.

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