biote (BTMD) AI Stock Analysis

• Market Cap: $147.33M
• Dividend Yield: N/A
• Average Volume (3M): 144.90K
• Price to Earnings (P/E): 3.3
• Beta (1Y): 0.91
• Revenue Growth: 6.32%
• EPS Growth: 344.42%
• Country: US
• Employees: 217
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Care Facilities
• EPS (TTM): 0.10
• Shares Outstanding: 33,280,228
• 10 Day Avg. Volume: 119,612
• 30 Day Avg. Volume: 144,902
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.82
• Enterprise Value/Revenue: 1.34
• Enterprise Value/Gross Profit: 1.89
• Enterprise Value/Ebitda: 14.74
• 1Y Price Target: $4.88
• Price Target Upside: 62.67% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 5

• Rating: 63 Neutral
• Price Target: $3.50 ▲(16.67% Upside)

The overall stock score is driven by strong valuation due to a low P/E ratio, indicating potential undervaluation. Financial performance shows growth in revenue and profitability, but is offset by a concerning balance sheet with negative equity. Technical analysis indicates a bearish trend, and the earnings call highlights mixed results with strategic initiatives yet to impact growth.

Positive Factors

Revenue Growth

Biote's consistent revenue growth indicates strong market demand and effective sales strategies, enhancing its competitive position in the healthcare sector.

Gross Profit Margin

The improved gross profit margin reflects effective cost management and operational efficiency, supporting long-term profitability and financial health.

Cash Flow Generation

Strong cash flow generation enhances Biote's ability to reinvest in growth initiatives, manage debt, and provide a buffer against economic fluctuations.

Negative Factors

Negative Equity

Negative equity suggests financial instability, posing risks to Biote's long-term viability and limiting its ability to secure financing for growth.

Procedure Revenue Decline

Declining procedure revenue highlights challenges in expanding clinic networks and retaining clients, potentially impacting future growth prospects.

Cash and Cash Equivalents Reduction

The reduction in cash reserves limits Biote's financial flexibility, potentially constraining investment in strategic initiatives and operational resilience.

biote Business Overview & Revenue Model

Company Description

biote Corp. operates in medical practice-building business within the hormone optimization space. The company offers a platform for Biote-certified practitioners to optimize imbalances in their patient's hormone, vitamin, and mineral levels, as well as prescribe bioidentical hormone therapies and recommend dietary supplements. It also sells Biote-branded dietary supplements; and sterile pellet insertion kits for men and women. The company was founded in 2011 and is headquartered in Irvine, Texas.

How the Company Makes Money

Biote generates revenue primarily through the sale of its hormone replacement therapy products and services. The company's revenue model is built on a subscription basis for healthcare providers who utilize Biote's training, support, and products in their practice. Key revenue streams include the direct sale of hormone therapy products, service fees for training healthcare professionals, and ongoing support services. Additionally, Biote may benefit from partnerships with healthcare providers and clinics, which can enhance its market reach and customer base, further contributing to its earnings.

biote Financial Statement Overview

Summary

The company shows positive revenue growth and improved profitability, with a healthy gross profit margin. However, the balance sheet is concerning due to negative equity, indicating financial risk. Strong cash flow generation provides some stability, but the negative equity needs addressing for long-term sustainability.

Income Statement

The company shows a positive trend in revenue growth, with a notable increase in total revenue from previous years. Gross profit margin is healthy at approximately 71.2% TTM. Net profit margin has improved significantly to 10.9% TTM from lower levels in previous years, indicating better cost management and operational efficiency. However, EBIT and EBITDA margins are moderate at 15.5% and 9.1% TTM, respectively, suggesting room for improvement in operational leverage.

Balance Sheet

The balance sheet is concerning with a negative stockholders' equity indicating that liabilities exceed assets. The debt-to-equity ratio cannot be calculated due to negative equity, highlighting financial risk. Despite these challenges, the company has managed to increase its cash reserves, which could provide some liquidity buffer. The equity ratio remains negative due to the negative equity, reflecting a need for stronger financial restructuring.

Cash Flow

Cash flow generation is strong, with positive free cash flow and operating cash flow. The free cash flow to net income ratio indicates efficient conversion of earnings into cash. The company improved its operating cash flow to net income ratio, suggesting effective cash management. The free cash flow growth rate is substantial, reflecting improved cash generation capabilities. However, investing cash flow remains negative, which could impact future growth initiatives.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	199.38M	197.19M	185.36M	164.96M	139.40M	116.57M
Gross Profit	142.01M	139.06M	127.48M	110.38M	90.58M	71.64M
EBITDA	18.17M	15.59M	9.23M	9.24M	35.98M	32.91M
Net Income	21.80M	3.16M	3.32M	1.32M	32.62M	29.16M
Balance Sheet
Total Assets	123.38M	122.37M	155.29M	111.64M	54.33M	32.59M
Cash, Cash Equivalents and Short-Term Investments	41.70M	39.34M	89.00M	79.23M	26.77M	17.21M
Total Debt	9.54M	110.86M	114.87M	120.43M	37.34M	42.35M
Total Liabilities	208.21M	224.57M	191.84M	169.92M	50.20M	49.66M
Stockholders Equity	-84.83M	-105.93M	-29.40M	-44.46M	4.13M	-17.07M
Cash Flow
Free Cash Flow	36.81M	38.81M	24.17M	-10.99M	29.91M	25.03M
Operating Cash Flow	44.34M	45.24M	26.88M	-9.16M	33.72M	26.43M
Investing Cash Flow	-8.47M	-18.80M	-2.71M	-1.84M	-3.81M	-1.39M
Financing Cash Flow	-72.93M	-76.08M	-14.38M	63.46M	-20.34M	-18.32M

biote Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 3.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BTMD, the sentiment is Negative. The current price of 3 is below the 20-day moving average (MA) of 3.21, below the 50-day MA of 3.38, and below the 200-day MA of 4.11, indicating a bearish trend. The MACD of -0.12 indicates Positive momentum. The RSI at 37.33 is Neutral, neither overbought nor oversold. The STOCH value of 14.34 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for BTMD.

biote Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BTMD	63 Neutral	$147.33M	3.30	-7.92%	―	6.32%	344.42%
CCEL	54 Neutral	$36.52M	-193.59	1.10%	8.83%	1.10%	98.13%
DCGO	54 Neutral	$128.13M	-6.90	-6.16%	―	-41.31%	-163.08%
JYNT	52 Neutral	$142.23M	-66.15	-47.60%	―	-40.65%	85.56%
PIII	48 Neutral	$61.09M	-0.17	-178.90%	―	4.20%	-54.16%
CCM	46 Neutral	$25.96M	-1.15	13.52%	―	-22.38%	56.66%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%