Equity Research Focusing on the Consumer Sector, Small Cap Consumer Research

Small Cap Consumer Research

Equity research on small cap consumer names.

Equity Research Focusing on the Consumer Sector

Small Cap Consumer Research, LLC is a leading company-sponsored equity research provider focusing on the consumer sector (apparel, brand licensing and specialty retailing segments).

Equity Bottom-Up

Betterware de Mexico Sab de CV / Equity Bottom-Up

<ul><li>We are reiterating our Buy rating and price target for Betterware de Mexico, but lowering our 2025 and 2026 projections after the company reported lower than expected 1Q25 (March) results and lowered the dividend rate.</li><li>1Q faced the toughest FX comparisons, which were further exacerbated by weakness in the Mexican consumer and the company's decision to raise prices at the Betterware division.</li><li>That said, management still reiterated 2024 revenue and EBITDA guidance.</li></ul>

We are reiterating our Buy rating and price target for Betterware de Mexico, but lowering our 2025 and 2026 projections after the company reported lower than expected 1Q25 (March) results and lowered the dividend rate.1Q faced the toughest FX comparisons, which were further exacerbated by weakness in the Mexican consumer and the company's decision to raise prices at the Betterware division.That said, management still reiterated 2024 revenue and EBITDA guidance.

BWMX: 2Q Review: Winning with Product & Pricing; Reiterate Buy, $22.50 PT