Eventbrite, Inc. (NYSE:EB) is possibly approaching a major achievement in its business, so we would like to shine some light on the company. Eventbrite, Inc. operates a two-sided marketplace that provides self-service ticketing and marketing tools for event creators in the United States and internationally. The US$451m market-cap company's loss lessened since it announced a US$26m loss in the full financial year, compared to the latest trailing-twelve-month loss of US$18m, as it approaches breakeven. The most pressing concern for investors is Eventbrite's path to profitability – when will it breakeven? Below we will provide a high-level summary of the industry analysts' expectations for the company.

Consensus from 7 of the American Entertainment analysts is that Eventbrite is on the verge of breakeven. They expect the company to post a final loss in 2025, before turning a profit of US$34m in 2026. So, the company is predicted to breakeven approximately 2 years from now. What rate will the company have to grow year-on-year in order to breakeven on this date? Using a line of best fit, we calculated an average annual growth rate of 61%, which is extremely buoyant. If this rate turns out to be too aggressive, the company may become profitable much later than analysts predict.

We're not going to go through company-specific developments for Eventbrite given that this is a high-level summary, though, take into account that generally 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. Eventbrite currently has a debt-to-equity ratio of 195%. Generally, the rule of thumb is debt shouldn't exceed 40% of your equity, which in this case, the company has significantly overshot. Note that a higher debt obligation increases the risk around investing in the loss-making company.

Next Steps:

There are key fundamentals of Eventbrite which are not covered in this article, but we must stress again that this is merely a basic overview. For a more comprehensive look at Eventbrite, take a look at Eventbrite's company page on Simply Wall St. We've also put together a list of important aspects you should further research:

1. Valuation: What is Eventbrite 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 Eventbrite 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 Eventbrite'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.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com