WallStSmart

Establishment Labs Holdings Inc (ESTA)vsEdwards Lifesciences Corp (EW)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Edwards Lifesciences Corp generates 2549% more annual revenue ($6.51B vs $245.82M). EW leads profitability with a 15.4% profit margin vs -15.8%. EW earns a higher WallStSmart Score of 55/100 (C).

ESTA

Avoid

30

out of 100

Grade: F

Growth: 6.7Profit: 2.0Value: 4.7Quality: 5.0
Piotroski: 4/9Altman Z: -1.05

EW

Buy

55

out of 100

Grade: C

Growth: 4.0Profit: 8.0Value: 5.3Quality: 8.5
Piotroski: 3/9Altman Z: 4.48
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ESTAOvervalued (-11.7%)

Margin of Safety

-11.7%

Fair Value

$65.12

Current Price

$70.94

$5.82 premium

UndervaluedFair: $65.12Overvalued
EWUndervalued (+68.9%)

Margin of Safety

+68.9%

Fair Value

$254.99

Current Price

$84.37

$170.62 discount

UndervaluedFair: $254.99Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ESTA1 strengths · Avg: 10.0/10
Revenue GrowthGrowth
31.7%10/10

Revenue surging 31.7% year-over-year

EW3 strengths · Avg: 9.3/10
Debt/EquityHealth
0.0710/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
4.4810/10

Safe zone — low bankruptcy risk

Operating MarginProfitability
29.8%8/10

Strong operational efficiency at 29.8%

Areas to Watch

ESTA4 concerns · Avg: 2.5/10
EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Price/BookValuation
97.2x2/10

Trading at 97.2x book value

Return on EquityProfitability
-295.9%2/10

ROE of -295.9% — below average capital efficiency

Free Cash FlowQuality
$-20.15M2/10

Negative free cash flow — burning cash

EW4 concerns · Avg: 2.8/10
PEG RatioValuation
1.924/10

Expensive relative to growth rate

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

P/E RatioValuation
51.6x2/10

Premium valuation, high expectations priced in

EPS GrowthGrowth
-25.4%2/10

Earnings declined 25.4%

Comparative Analysis Report

WallStSmart Research

Bull Case : ESTA

The strongest argument for ESTA centers on Revenue Growth. Revenue growth of 31.7% demonstrates continued momentum.

Bull Case : EW

The strongest argument for EW centers on Debt/Equity, Altman Z-Score, Operating Margin. Profitability is solid with margins at 15.4% and operating margin at 29.8%. Revenue growth of 13.6% demonstrates continued momentum.

Bear Case : ESTA

The primary concerns for ESTA are EPS Growth, Price/Book, Return on Equity. Debt-to-equity of 12.20 is elevated, increasing financial risk.

Bear Case : EW

The primary concerns for EW are PEG Ratio, Piotroski F-Score, P/E Ratio. A P/E of 51.6x leaves little room for execution misses.

Key Dynamics to Monitor

ESTA profiles as a hypergrowth stock while EW is a mature play — different risk/reward profiles.

ESTA carries more volatility with a beta of 1.05 — expect wider price swings.

ESTA is growing revenue faster at 31.7% — sustainability is the question.

EW generates stronger free cash flow (585M), providing more financial flexibility.

Bottom Line

EW scores higher overall (55/100 vs 30/100), backed by strong 15.4% margins and 13.6% revenue growth. Both earn "Buy" and "Avoid" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Establishment Labs Holdings Inc

HEALTHCARE · MEDICAL DEVICES · USA

Establishment Labs Holdings Inc., a medical technology company, manufactures and markets medical devices for cosmetic and reconstructive plastic surgery. The company is headquartered in Alajuela, Costa Rica.

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Edwards Lifesciences Corp

HEALTHCARE · MEDICAL DEVICES · USA

Edwards Lifesciences is an American medical technology company headquartered in Irvine, California, specializing in artificial heart valves and hemodynamic monitoring.

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