Want to see BWMX full AI Analyst Report?
Top Page
Betterware de Mexico
(NYSE:BWMX)
Select Model
Select Model
Rating:63Neutral
Price Target:
$16.50
▲(2.17% Upside)
Action:Reiterated
Date:10/24/26
The score is driven primarily by mixed fundamentals: strong profitability and improving growth are offset by very high leverage and recent free-cash-flow deterioration. Valuation is a clear positive (low P/E and high yield), while technicals remain weak with the price below key moving averages and negative momentum. Earnings-call commentary and guidance were constructive, but operational challenges (notably Jafra execution and freight pressure) cap the upside.
Positive Factors
Revenue growth and profitability
Re-accelerating revenue alongside strong gross and operating margins indicates that the core business retains meaningful earning power. If growth continues across the household and direct-selling portfolio, the company can support reinvestment while preserving a solid base of operating profitability.
Negative Factors
High structural leverage
The debt-heavy capital structure limits financial flexibility and increases sensitivity to earnings volatility or refinancing conditions. High leverage also competes with growth investment and shareholder returns for available cash, making sustained operating performance especially important over the next several quarters.
Read all positive and negative factors
Positive Factors
Negative Factors
Revenue growth and profitability
Re-accelerating revenue alongside strong gross and operating margins indicates that the core business retains meaningful earning power. If growth continues across the household and direct-selling portfolio, the company can support reinvestment while preserving a solid base of operating profitability.
Read all positive factors
Betterware de Mexico (BWMX) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$615.57M
Dividend Yield8.14%
Average Volume (3M)60.00K
Price to Earnings (P/E)8.8
Beta (1Y)0.21
Revenue Growth28.31%
EPS Growth43.42%
CountryUS
Employees2,441
SectorConsumer Cyclical
Sector Strength84
IndustrySpecialty Retail
Share Statistics
EPS (TTM)35.14
Shares Outstanding39,485,054
10 Day Avg. Volume40,754
30 Day Avg. Volume59,997
Financial Highlights & Ratios
PEG Ratio0.18
Price to Book (P/B)7.08
Price to Sales (P/S)0.67
P/FCF Ratio5.82
Enterprise Value/Market Cap1.76
Enterprise Value/Revenue0.07
Enterprise Value/Gross Profit0.10
Enterprise Value/Ebitda0.35
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)39.95
Revenue Forecast (FY)$17.23B
Betterware de Mexico Business Overview & Revenue Model
Company Description
Betterware de México, S.A.P.I. de C.V. operates as a direct-to-consumer selling company in the United Staes and Mexico. It operates through two segments, Home Organization Products; and Beauty and Personal Care Products. The Home Organization Prod...
How the Company Makes Money
Betterware de México makes money primarily by selling branded household products to end consumers through a direct-selling distribution model. The core revenue stream is product sales (net sales) generated when independent distributors (and/or the...
Betterware de Mexico Earnings Call Summary
Earnings Call Date:Oct 22, 2026
(Q3-2026)
| % Change Since: |
Next Earnings Date:Feb 25, 2027
Earnings Call Sentiment Positive
The call was predominantly positive. BeFra reported strong consolidated revenue, EBITDA, net income, EPS, cash flow, deleveraging, and portfolio diversification, while Betterware and Tupperware showed meaningful growth and Jafra U.S. remained EBITDA-positive. The main challenges were Jafra Mexico's revenue decline and execution issues, Betterware freight-related gross-margin pressure, a higher quarterly tax rate, and a pro forma Tupperware revenue decline caused by discontinued business-to-business sales. Management expressed confidence in corrective actions and maintained or raised key guidance, resulting in a positive overall tone.Positive Updates
Strong Consolidated Revenue Growth
Third-quarter consolidated revenue increased 43.1% year-over-year to MXN 4,832 million. Organic revenue, consisting of Betterware and Jafra, increased 2.3%, supported by another strong quarter at Betterware and partially offset by lower revenue at Jafra.
Negative Updates
Jafra Revenue Decline and Execution Challenges
Jafra total revenue declined 2.8%. In Mexico, lower associate activity related to the World Cup and extended summer holiday period affected sales, and Jafra did not fully offset the impact through higher productivity. Management cited inconsistent managerial and operating decisions, delays in planned strategies, and appointed the CEO as interim Managing Director of Jafra Mexico.
Read all updates
Q3-2026 Updates
Positive
Negative
Strong Consolidated Revenue Growth
Third-quarter consolidated revenue increased 43.1% year-over-year to MXN 4,832 million. Organic revenue, consisting of Betterware and Jafra, increased 2.3%, supported by another strong quarter at Betterware and partially offset by lower revenue at Jafra.
Read all positive updates
Company Guidance
BeFra narrowed organic net revenue growth guidance to 4% to 5% within its original range, raised post-acquisition net revenue growth guidance to 24% to 26%, and continues to expect a full-year EBITDA margin of 19%; the full-year effective tax rate is expected to normalize, landing in the mid-30s by year-end. For the fourth quarter, management said it could reach mid-single-digit growth in Jafra and expects high single-digit organic growth, in a combination of mid-single digit for Jafra and high-single digit for Betterware.Betterware de Mexico Financial Statement Overview
Summary
Income Statement
78
Positive
Balance Sheet
46
Neutral
Cash Flow
54
Neutral
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 16.23B | 14.24B | 14.10B | 13.01B | 11.51B | 10.07B |
| Gross Profit | 10.56B | 9.48B | 9.58B | 9.31B | 7.52B | 5.57B |
| EBITDA | 3.11B | 2.65B | 2.21B | 2.63B | 2.22B | 2.72B |
| Net Income | 1.33B | 1.06B | 711.73M | 1.05B | 872.56M | 1.75B |
Balance Sheet | ||||||
| Total Assets | 15.02B | 9.62B | 10.45B | 11.09B | 11.33B | 5.19B |
| Cash, Cash Equivalents and Short-Term Investments | 528.57M | 328.34M | 296.56M | 549.73M | 815.64M | 1.18B |
| Total Debt | 7.43B | 4.46B | 5.17B | 5.50B | 6.44B | 1.53B |
| Total Liabilities | 12.55B | 8.27B | 9.29B | 9.62B | 10.24B | 3.99B |
| Stockholders Equity | 2.47B | 1.35B | 1.16B | 1.47B | 1.10B | 1.19B |
Cash Flow | ||||||
| Free Cash Flow | -489.16M | 1.64B | 1.60B | 2.24B | 1.10B | 1.06B |
| Operating Cash Flow | 2.74B | 1.75B | 1.82B | 2.37B | 1.27B | 1.47B |
| Investing Cash Flow | -3.54B | -101.12M | -31.91M | -65.33M | -4.81B | -320.38M |
| Financing Cash Flow | 971.29M | -1.63B | -2.05B | -2.57B | 3.06B | -619.84M |
Betterware de Mexico Technical Analysis
Negative
16.15
Price Trends
16.15
Negative
16.73
Negative
16.75
Negative
Market Momentum
-0.12
Positive
37.07
Neutral
21.22
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BWMX, the sentiment is Negative. The current price of 16.15 is below the 20-day moving average (MA) of 16.29, above the 50-day MA of 16.15, and below the 200-day MA of 16.75, indicating a bearish trend. The MACD of -0.12 indicates Positive momentum. The RSI at 37.07 is Neutral, neither overbought nor oversold. The STOCH value of 21.22 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for BWMX.
Betterware de Mexico Risk Analysis
Betterware de Mexico disclosed 45 risk factors in its most recent earnings report. Betterware de Mexico reported the most risks in the "Legal & Regulatory" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 3 New Risks
1.
We are subject to anti-corruption, anti-bribery, anti-money laundering, and antitrust laws and regulations in Mexico. Q4, 2023
2.
If the Mexican government imposes exchange controls and/or other similar restrictions, the Mexican economy and our operations may be negatively affected. Q4, 2023
3.
Our business may be significantly affected by the Mexican economy's general condition, by the depreciation of the peso, inflation, and high-interest rates in Mexico. Q4, 2023
Betterware de Mexico Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
63 Neutral | $615.57M | 8.76 | 69.99% | 8.14% | 28.31% | 43.42% | |
61 Neutral | $18.38B | 12.79 | -2.54% | 3.03% | 1.52% | -15.83% | |
60 Neutral | $3.08B | 17.25 | 14.11% | 6.63% | 30.43% | -44.33% | |
52 Neutral | $6.40M | -0.32 | -13.24% | ― | ― | ― | |
51 Neutral | $710.04M | -6.08 | -304.73% | ― | 27.37% | 18.19% | |
45 Neutral | $6.69M | -5.25 | -8.00% | 76.92% | -14.38% | -615.84% | |
44 Neutral | $1.00B | -6.26 | -842.31% | ― | 22.18% | ― |
* Consumer Cyclical Sector Average
BWMX
Betterware de Mexico
15.59
2.80
21.86%
NHTC
Natural Health Trends
0.78
-3.14
-80.12%
JMIA
Jumia Technologies AG
5.70
-5.63
-49.69%
YJ
Yunji
1.30
-0.57
-30.48%
MNSO
MINISO Group Holding
10.04
-11.64
-53.69%
HEPS
D-Market
2.80
0.15
5.66%
Betterware de Mexico Corporate Events
Betterware de México’s BeFra Group Delivers Record Q3 2026 Results on Tupperware Latam Integration
Oct 22, 2026
On October 22, 2026, Betterware de México’s BeFra Group reported unaudited results for the quarter ended September 30, 2026, posting record consolidated revenue of 4,832 million pesos, up 43.1% year on year, driven by Tupperware Latam&#...
Betterware de México Updates Mid-2026 Results and Pro Forma Impact of Tupperware Latin America Acquisition
Oct 1, 2026
On October 1, 2026, Betterware de México filed a Form 6-K in the United States to furnish interim, unaudited financial results for the six months ended June 30, 2026 and to support the maintenance of its effective Form F-3 resale registration...
Betterware de México Calls October 16 Shareholders’ Meeting to Vote on Dividends
Sep 29, 2026
Betterware de México has called an Ordinary General Meeting of Shareholders to take place on October 16, 2026, in Guadalajara, Jalisco, Mexico. The agenda centers on the proposal, discussion and potential approval of dividend payments, and th...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.