Evolus (EOLS) AI Stock Analysis

Compare

529 Followers

Top Page

Evolus

(NASDAQ:EOLS)

Rating:43Neutral

Price Target:

$9.50

▲(2.15%Upside)

Evolus' overall score reflects strong revenue growth and strategic initiatives, such as securing a new credit facility, which are positive factors. However, the company's ongoing financial instability, bearish technical indicators, and unattractive valuation considerably weigh down the score.

Positive Factors

Financial Performance

Evolus reported global net revenue of $68.5M in 1Q25, a 15.5% increase from 1Q24, driven primarily by higher volumes and market share gains.

Market Share

Jeuveau significantly outperformed the overall toxin market and the leading toxin Botox to further grow its market share.

Product Launch

The recent Evolysse launch is expected to aid Jeuveau's growth.

Negative Factors

Macroeconomic Concerns

Some investors may be concerned with the macro trends given the significant volatility in the capital markets, consumer sentiment, and tariffs noise.

Management Changes

CFO Sandra Beaver will be resigning from the company and Evolus has initiated the process to identify a successor.

Evolus (EOLS) vs. SPDR S&P 500 ETF (SPY)

Market Cap

$632.51M

Dividend YieldN/A

Average Volume (3M)988.72K

Price to Earnings (P/E)―

Beta (1Y)1.08

Revenue Growth25.38%

EPS Growth15.00%

CountryUS

Employees372

SectorHealthcare

Sector Strength40

IndustryDrug Manufacturers - Specialty & Generic

Share Statistics

EPS (TTM)-0.15

Shares Outstanding64,475,586

10 Day Avg. Volume990,027

30 Day Avg. Volume988,721

Financial Highlights & Ratios

PEG Ratio-1.09

Price to Book (P/B)109.56

Price to Sales (P/S)0.00

P/FCF Ratio-30.98

Enterprise Value/Market Cap1.07

Enterprise Value/Revenue0.70

Enterprise Value/Gross Profit3.76

Enterprise Value/Ebitda-4.61

Forecast

1Y Price Target

$24.29

Price Target Upside161.18% Upside

Rating ConsensusStrong Buy

Number of Analyst Covering7

Evolus Business Overview & Revenue Model

Company DescriptionEvolus, Inc. is a performance beauty company dedicated to delivering breakthrough products in the aesthetic industry. Headquartered in Newport Beach, California, the company primarily operates in the healthcare sector, focusing on the development and commercialization of innovative medical aesthetic products. Evolus is best known for its flagship product, Jeuveau®, a prescription neurotoxin, which is designed to temporarily improve the appearance of moderate to severe frown lines between the eyebrows, also known as glabellar lines.

How the Company Makes MoneyEvolus generates revenue primarily through the sale of its aesthetic product, Jeuveau®. The company targets its sales efforts towards dermatologists, plastic surgeons, and aesthetic practitioners, leveraging a specialized sales force to promote its product. Jeuveau® is distributed through a network of third-party distributors and direct sales channels. A significant portion of Evolus's revenue is derived from the U.S. market, although the company is also expanding its presence internationally. In addition to direct sales, Evolus engages in strategic partnerships and distribution agreements to enhance market penetration and broaden its customer base. The company focuses heavily on branding and marketing initiatives to increase product awareness and drive demand, which are critical factors in its revenue generation strategy.

Evolus Earnings Call Summary

Earnings Call Date:May 07, 2025

(Q1-2025)

% Change Since: -20.92%|

Next Earnings Date:Jul 30, 2025

Earnings Call Sentiment Positive

Evolus reported strong revenue growth and a successful product launch, with significant customer engagement and financial repositioning. However, challenges include reduced market growth expectations, tariff impacts, and increased operating expenses. Despite these challenges, the company's strategic execution and market share gains indicate a positive outlook.

Q1-2025 Updates

Positive Updates

Double-Digit Revenue Growth

Evolus reported a 15.5% revenue growth in the first quarter of 2025, achieving $68.5 million in revenue, supported by a strong commercial engine and market share gains.

Successful Launch of Evolysse

Evolus launched its new product, Evolysse, in April 2025, which has shown strong early momentum and exceeded expectations in terms of clinician interest and early ordering activity.

Increased Customer Engagement

Evolus added 675 new purchasing accounts, reaching a total of more than 16,000 accounts. The company's loyalty program achieved a record with over 220,000 redemptions.

Positive Financial Repositioning

Evolus successfully refinanced its debt facility, reducing borrowing costs by 350 basis points and adding $100 million in incremental available capacity.

International Growth

International revenue contributions increased and are expected to continue outpacing US growth, validating strong growth trajectory outside the US.

Negative Updates

Reduced Market Growth Expectations

Evolus reduced its 2025 toxin market growth expectation to low single digits due to slower market growth and a cautious market environment.

Impact of Tariffs

Evolysse is subject to a 10% tariff, expected to increase to 20%, impacting cost of goods sold. The estimated tariff impact is less than $2 million for 2025.

Increased Operating Expenses

GAAP operating expenses for the first quarter increased to $61.8 million, up from $54.9 million in the previous quarter, reflecting investments in growth and commercial expansion.

Company Guidance

In the first quarter of 2025, Evolus reported $68.5 million in revenue, marking a 15.5% increase from the previous year, as they gained market share despite a slower overall market growth. The company launched Evolysse Form and Evolysse Smooth in the U.S., transitioning to a multi-product company and driving engagement with their "Drop the F Word" campaign, which encourages a shift in terminology from "filler" to "hyaluronic acid." Evolus reaffirmed their 2025 revenue guidance of $345 million to $355 million, predicting over 30% annual growth. They noted a strong customer base with 675 new accounts added, and over 220,000 loyalty program redemptions, 65% from existing consumers. The company's non-GAAP operating expenses were between $230 million and $240 million, and Evolus is on track to achieve profitability by the end of 2025.

Evolus Financial Statement Overview

Summary

Evolus shows revenue growth and improved gross profit margins but remains unprofitable with ongoing net losses. The balance sheet is weak due to low equity levels, and cash flows are negative, though improving. Focus on profitability and balance sheet strengthening is required.

Income Statement

Neutral

Evolus has demonstrated consistent revenue growth over the years, increasing from $34.9 million in 2019 to $264.3 million in 2024. However, the company is still facing profitability challenges, with negative net income each year. The gross profit margin has improved significantly, reflecting better cost management. Despite this, negative EBIT and EBITDA margins indicate ongoing operational losses.

Balance Sheet

Neutral

Evolus's balance sheet shows a concerning debt-to-equity ratio due to low equity levels, which have been negative in several years. The company’s total debt has decreased, but stockholders' equity remains minimal, affecting overall financial stability. Positive cash balances partially mitigate these risks, but improvements in equity are needed for stronger financial health.

Cash Flow

Neutral

Cash flow from operations remains negative, but there has been a decrease in the deficit over time, indicating potential improvements. Free cash flow is also negative, reflecting continued cash burn. However, the company has been able to secure financing to bolster cash reserves, which is crucial for operations in the short term.

Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Breakdown
Income Statement		Total Revenue
266.27M	202.09M	148.62M	99.67M	56.54M
	Gross Profit
182.30M	140.53M	92.73M	56.14M	38.24M
	EBIT
-34.41M	-49.23M	-57.58M	-63.62M	-68.70M
	EBITDA
-25.00M	-41.81M	-60.72M	-39.06M	-144.75M
	Net Income Common Stockholders
-50.42M	-61.69M	-74.41M	-46.81M	-163.01M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
86.95M	62.84M	53.92M	146.26M	107.56M
	Total Assets
232.57M	189.00M	177.98M	257.48M	209.07M
	Total Debt
129.98M	126.55M	73.20M	74.74M	138.32M
	Net Debt
43.03M	63.71M	19.28M	-71.51M	35.76M
	Total Liabilities
227.05M	209.69M	159.48M	175.61M	282.03M
	Stockholders Equity
5.52M	-20.69M	18.50M	-422.88M	-376.07M
Cash Flow		Free Cash Flow
-19.47M	-35.63M	-11.71M	-34.36M	-61.01M
	Operating Cash Flow
-18.00M	-34.01M	-8.77M	-33.39M	-57.87M
	Investing Cash Flow
-4.82M	-1.63M	-1.39M	4.03M	12.19M
	Financing Cash Flow
47.41M	44.64M	-1.52M	73.05M	38.35M

Evolus Technical Analysis

Technical Analysis Sentiment

Negative

Last Price9.30

Price Trends

50DMA

11.00

Negative

100DMA

12.08

Negative

200DMA

13.32

Negative

Market Momentum

MACD

-0.47

Positive

RSI

35.46

Neutral

STOCH

31.63

Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For EOLS, the sentiment is Negative. The current price of 9.3 is below the 20-day moving average (MA) of 10.41, below the 50-day MA of 11.00, and below the 200-day MA of 13.32, indicating a bearish trend. The MACD of -0.47 indicates Positive momentum. The RSI at 35.46 is Neutral, neither overbought nor oversold. The STOCH value of 31.63 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for EOLS.

Evolus Risk Analysis

Evolus disclosed 52 risk factors in its most recent earnings report. Evolus reported the most risks in the “Finance & Corporate” category.

Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy

Latest Risks Added 1 New Risks

We have incurred significant losses since our inception. Q4, 2024

Evolus Peers Comparison

Overall Rating

UnderperformOutperform

Sector (53)

Financial Indicators

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SIGA	81 Outperform	$434.36M	8.95	25.47%	10.13%	-23.37%	-39.03%
COLL	71 Outperform	$947.55M	23.83	19.23%	―	17.17%	-51.97%
AVDL	59 Neutral	$876.45M	―	-34.65%	―	252.64%	85.10%
Sector *	53 Neutral	$5.14B	3.23	-45.01%	2.85%	17.55%	-0.69%
TLRY	44 Neutral	$454.62M	―	-31.06%	―	11.22%	-108.58%
EOLS	43 Neutral	$632.51M	―	-949.46%	―	25.38%	15.00%
ORGO	42 Neutral	$376.76M	928.57	-4.92%	―	5.35%	-432.51%

* Healthcare Sector Average

Performance Comparison

EOLS

Evolus

9.30

-3.34

-26.42%

AVDL

Avadel Pharmaceuticals

9.05

-6.54

-41.95%

SIGA

SIGA Technologies

6.09

-0.61

-9.10%

COLL

Collegium Pharmaceutical

28.91

-4.29

-12.92%

ORGO

Organogenesis Holdings

2.87

0.30

11.67%

TLRY

Tilray

0.45

-1.36

-75.14%

Evolus Corporate Events

Private Placements and FinancingBusiness Operations and Strategy

Evolus Secures New $250 Million Credit Facility

Positive

May 5, 2025

On May 5, 2025, Evolus, Inc. announced an amended and restated credit facility, replacing its existing $125 million credit agreement with a new $250 million facility managed by Pharmakon Advisors, LP. This refinancing reduces the company’s interest expenses, enhances financial flexibility, and provides additional capital availability. The new agreement includes a lower interest rate and a conversion to a bullet maturity payment structure, eliminating pre-payment fees from the existing facility. This strategic move is expected to improve Evolus’ cash generation and support its commercial momentum and strategic initiatives.

Glossary

OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.

NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.

UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

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.