What Are Analysts Expecting From CRISPR Therapeutics AG (NASDAQ:CRSP) Over The Next Few Years?
The most recent earnings release CRISPR Therapeutics AG’s (NASDAQ:CRSP) announced in December 2017 revealed that losses became smaller relative to the prrior year’s level – great news for investors Below, I’ve laid out key growth figures on how market analysts view CRISPR Therapeutics’s earnings growth outlook over the next couple of years and whether the future looks brighter. I will be looking at earnings excluding extraordinary items to exclude one-off activities to get a better understanding of the underlying drivers of earnings. View our latest analysis for CRISPR Therapeutics
Market analysts’ prospects for the coming year seems pessimistic, with earnings becoming even more negative, reaching -US$128.53M in 2019. Furthermore, earnings are expected to fall off in the following year, declining to -US$155.52M in 2020 and -US$204.49M in 2021.
Although it is informative knowing the rate of growth each year relative to today’s figure, it may be more insightful to analyze the rate at which the company is moving every year, on average. The pro of this technique is that we can get a bigger picture of the direction of CRISPR Therapeutics’s earnings trajectory over the long run, irrespective of near term fluctuations, be more volatile. To calculate this rate, I put a line of best fit through analyst consensus of forecasted earnings. The slope of this line is the rate of earnings growth, which in this case is -16.97%. This means that, we can presume CRISPR Therapeutics will chip away at a rate of -16.97% every year for the next couple of years.
Next Steps:
For CRISPR Therapeutics, I’ve put together three pertinent factors you should further examine:
Financial Health: Does it have a healthy balance sheet? Take a look at our free balance sheet analysis with six simple checks on key factors like leverage and risk.
Management:Have insiders been ramping up their shares to take advantage of the market’s sentiment for CRSP’s future outlook? Check out our management and board analysis with insights on CEO compensation and governance factors.
Other High-Growth Alternatives: Are there other high-growth stocks you could be holding instead of CRSP? Explore our interactive list of stocks with large growth potential to get an idea of what else is out there you may be missing!
To help readers see pass the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price sensitive company announcements.
The author is an independent contributor and at the time of publication had no position in the stocks mentioned.
