Establishment Labs (NASDAQ:ESTA) Shares Gap Down – Here’s Why

Establishment Labs Holdings Inc. (NASDAQ:ESTA)’s share price gapped down before the market opened on Friday . The stock had previously closed at $48.12, but opened at $42.49. Establishment Labs shares last traded at $47.63, with a volume of 131,713 shares traded.

Wall Street Analysts Forecast Growth

A number of equities analysts recently weighed in on the company. Stephens reiterated an “overweight” rating and issued a $68.00 price target on shares of Establishment Labs in a research report on Wednesday, August 7th. JPMorgan Chase & Co. decreased their target price on shares of Establishment Labs from $61.00 to $50.00 and set an “overweight” rating for the company in a report on Wednesday, August 7th. Citigroup raised their price objective on Establishment Labs from $45.00 to $50.00 and gave the stock a “neutral” rating in a research report on Tuesday, October 1st. Finally, BTIG Research upped their target price on Establishment Labs from $62.00 to $65.00 and gave the company a “buy” rating in a report on Monday, October 14th. One analyst has rated the stock with a hold rating and five have given a buy rating to the stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average price target of $58.83.

Establishment Labs Stock Performance

The firm has a market capitalization of $1.34 billion, a PE ratio of -15.47 and a beta of 1.20. The company has a current ratio of 4.44, a quick ratio of 2.91 and a debt-to-equity ratio of 4.30. The firm’s fifty day moving average price is $43.37 and its 200 day moving average price is $45.92.

Establishment Labs (NASDAQ:ESTA) last released its earnings results on Tuesday, August 6th. The company reported ($0.62) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.51) by ($0.11). The firm had revenue of $44.12 million for the quarter, compared to analyst estimates of $43.10 million. Establishment Labs had a negative return on equity of 220.67% and a negative net margin of 54.97%. The firm’s revenue was down 9.2% on a year-over-year basis. During the same period in the prior year, the firm earned ($0.65) EPS. On average, research analysts anticipate that Establishment Labs Holdings Inc. will post -2.27 earnings per share for the current year.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of ESTA. Capital Research Global Investors acquired a new position in Establishment Labs during the 1st quarter worth $45,888,000. William Blair Investment Management LLC acquired a new position in shares of Establishment Labs during the first quarter valued at about $21,415,000. First Turn Management LLC acquired a new position in shares of Establishment Labs during the second quarter valued at about $16,812,000. Sofinnova Investments Inc. raised its position in shares of Establishment Labs by 204.1% during the second quarter. Sofinnova Investments Inc. now owns 429,244 shares of the company’s stock valued at $19,505,000 after buying an additional 288,082 shares during the last quarter. Finally, Divisadero Street Capital Management LP acquired a new position in shares of Establishment Labs during the second quarter valued at about $5,829,000. Institutional investors and hedge funds own 72.91% of the company’s stock.

Establishment Labs Company Profile

Establishment Labs Holdings Inc, a medical technology company, manufactures and markets medical devices for aesthetic and reconstructive plastic surgery. The company primarily offers silicone gel-filled breast implants under the Motiva Implants brand. It also provides Motiva Ergonomix and Motiva Ergonomix2 gravity sensitive round soft silicone-gel-filled breast implants; and Motiva Flora Tissue Expander, a breast tissue expander.