With the business potentially at an important milestone, we thought we'd take a closer look at AirSculpt Technologies, Inc.'s (NASDAQ:AIRS) future prospects. AirSculpt Technologies, Inc., together with its subsidiaries, focuses on operating as a holding company for EBS Intermediate Parent LLC that provides body contouring procedure services in the United States. With the latest financial year loss of US$4.5m and a trailing-twelve-month loss of US$3.4m, the US$391m market-cap company alleviated its loss by moving closer towards its target of breakeven. As path to profitability is the topic on AirSculpt Technologies' investors mind, we've decided to gauge market sentiment. Below we will provide a high-level summary of the industry analysts’ expectations for the company.

See our latest analysis for AirSculpt Technologies

According to the 4 industry analysts covering AirSculpt Technologies, the consensus is that breakeven is near. They anticipate the company to incur a final loss in 2025, before generating positive profits of US$3.9m in 2026. The company is therefore projected to breakeven around 2 years from now. How fast will the company have to grow each year in order to reach the breakeven point by 2026? Working backwards from analyst estimates, it turns out that they expect the company to grow 93% year-on-year, on average, which is extremely buoyant. Should the business grow at a slower rate, it will become profitable at a later date than expected.

Given this is a high-level overview, we won’t go into details of AirSculpt Technologies' upcoming projects, however, bear in mind that by and large a high growth rate is not out of the ordinary, particularly when a company is in a period of investment.

Before we wrap up, there’s one issue worth mentioning. AirSculpt Technologies currently has a relatively high level of debt. Generally, the rule of thumb is debt shouldn’t exceed 40% of your equity, which in AirSculpt Technologies' case is 83%. Note that a higher debt obligation increases the risk around investing in the loss-making company.

Next Steps:

This article is not intended to be a comprehensive analysis on AirSculpt Technologies, so if you are interested in understanding the company at a deeper level, take a look at AirSculpt Technologies' company page on Simply Wall St. We've also put together a list of relevant aspects you should further examine:

1. Valuation: What is AirSculpt Technologies worth today? Has the future growth potential already been factored into the price? The intrinsic value infographic in our free research report helps visualize whether AirSculpt Technologies is currently mispriced by the market.
2. Management Team: An experienced management team on the helm increases our confidence in the business – take a look at who sits on AirSculpt Technologies’s board and the CEO’s background.
3. Other High-Performing Stocks: Are there other stocks that provide better prospects with proven track records? Explore our free list of these great stocks here.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.