Beauty Health cut to Hold at Stifel on slowing growth rates

Stifel downgraded Beauty Health to Hold from Buy with a price target of $10, down from $17. The feedback from the company’s Syndeo Hydrafacial product has been “underwhelming” and the overall HydraFacials booster attachment rate growth may soon slow, the analyst tells investors in a research note. The firm adds that it is modeling 2024 and 2025 top-line growth rates at 14.1% and 14.0%, a deceleration from the expected 25.4% in 2023.