(BWMX) Betterware de México - Ratings and Ratios

Betterware de México, S.A.P.I. de C.V. (NASDAQ:BWMX) is a direct-to-consumer sales company operating in the United States and Mexico, offering a diverse range of products through two primary segments: Home Organization Products and Beauty and Personal Care Products. The companys product portfolio includes kitchen and food preservation items, home solutions, bedroom and bathroom essentials, laundry and cleaning supplies, wellness products, and technology and mobility accessories, as well as fragrances, color cosmetics, skin care products, and toiletries.

The companys business model relies on a multi-channel distribution network, including catalog sales and a network of distributors, associates, leaders, and consultants who facilitate the delivery of products to end customers. With its headquarters in Zapopan, Mexico, Betterware de México, S.A.P.I. de C.V. operates as a subsidiary of Campalier S.A. de C.V., leveraging its parent companys resources to drive growth and expansion.

Analyzing the companys , we observe that the stocks current price is $9.59, below its SMA20 ($9.95), SMA50 ($10.70), and SMA200 ($11.66), indicating a potential downtrend. The ATR of 0.61 (6.34%) suggests moderate volatility. Considering the , the companys Market Cap stands at $344.06M USD, with a Forward P/E of 5.84 and an impressive RoE of 45.33%. These metrics suggest that the company is undervalued relative to its earnings and has a strong ability to generate returns on equity.

Based on the and , our forecast suggests that BWMX may experience a short-term correction due to its current downtrend. However, the companys strong RoE and relatively low Forward P/E indicate potential for long-term growth. If the company can maintain its current level of profitability and expand its distribution network, we forecast a potential price target of $12.50 in the next 6-12 months, representing a 30% increase from current levels.