Earnings Update: Evolus, Inc. (NASDAQ:EOLS) Just Reported Its Third-Quarter Results And Analysts Are Updating Their Forecasts
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The analysts might have been a bit too bullish on Evolus, Inc. (NASDAQ:EOLS), given that the company fell short of expectations when it released its quarterly results last week. It was a pretty negative result overall, with revenues of US$61m missing analyst predictions by 3.7%. Worse, the business reported a statutory loss of US$0.30 per share, much larger than the analysts had forecast prior to the result. The analysts typically update their forecasts at each earnings report, and we can judge from their estimates whether their view of the company has changed or if there are any new concerns to be aware of. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analysts have changed their mind on Evolus after the latest results.
See our latest analysis for Evolus
Taking into account the latest results, the consensus forecast from Evolus' six analysts is for revenues of US$348.6m in 2025. This reflects a major 40% improvement in revenue compared to the last 12 months. The loss per share is expected to greatly reduce in the near future, narrowing 58% to US$0.37. Before this latest report, the consensus had been expecting revenues of US$350.9m and US$0.32 per share in losses. While next year's revenue estimates held steady, there was also a considerable increase in loss per share expectations, suggesting the consensus has a bit of a mixed view on the stock.
The consensus price target held steady at US$23.43, seemingly implying that the higher forecast losses are not expected to have a long term impact on the company's valuation. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. There are some variant perceptions on Evolus, with the most bullish analyst valuing it at US$27.00 and the most bearish at US$20.00 per share. With such a narrow range of valuations, the analysts apparently share similar views on what they think the business is worth.
Taking a look at the bigger picture now, one of the ways we can understand these forecasts is to see how they compare to both past performance and industry growth estimates. The period to the end of 2025 brings more of the same, according to the analysts, with revenue forecast to display 31% growth on an annualised basis. That is in line with its 37% annual growth over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to see their revenues grow 10% per year. So it's pretty clear that Evolus is forecast to grow substantially faster than its industry.