Cutera (CUTR) Reports Q2 Loss, Misses Revenue Estimates

Core Insights - Cutera reported a quarterly loss of $1.20 per share, which was worse than the Zacks Consensus Estimate of a loss of $0.90, and compared to a loss of $0.69 per share a year ago, indicating a significant decline in performance [1] - The company's revenues for the quarter ended June 2024 were $34.38 million, missing the Zacks Consensus Estimate by 12.90% and down from $61.22 million year-over-year [2] - Cutera's stock has underperformed significantly, losing about 70.8% since the beginning of the year, while the S&P 500 has gained 9% [3] Financial Performance - Over the last four quarters, Cutera has surpassed consensus EPS estimates only once [2] - The current consensus EPS estimate for the upcoming quarter is -$0.87 on revenues of $39.53 million, and for the current fiscal year, it is -$3.71 on revenues of $162.33 million [7] Industry Context - The Lasers Systems and Components industry, to which Cutera belongs, is currently ranked in the bottom 17% of over 250 Zacks industries, indicating a challenging environment [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which could impact Cutera's stock performance [5] Future Outlook - The sustainability of Cutera's stock price movement will largely depend on management's commentary during the earnings call and the subsequent revisions of earnings estimates [3][4] - The current Zacks Rank for Cutera is 3 (Hold), suggesting that the shares are expected to perform in line with the market in the near future [6]