What Do Analysts Think About Phoenix Global Resources plc's (LON:PGR) Earnings Trend?
In May 2019, Phoenix Global Resources plc (LON:PGR) released its latest earnings announcement, which signalled that losses became smaller relative to the prior year's level - great news for investors Below, I've laid out key numbers on how market analysts predict Phoenix Global Resources's earnings growth outlook over the next couple of years and whether the future looks brighter. I will be using net income excluding extraordinary items in order to exclude one-off volatility which I am not interested in.
View our latest analysis for Phoenix Global Resources
Market analysts' consensus outlook for this coming year seems optimistic, with earnings becoming less negative, arriving at -US$33.3m in 2020.
While it is helpful to understand the rate of growth year by year relative to today’s level, it may be more insightful determining the rate at which the earnings are rising or falling on average every year. The pro of this technique is that it removes the impact of near term flucuations and accounts for the overarching direction of Phoenix Global Resources's earnings trajectory over time, be more volatile. To calculate this rate, I've inserted 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 20%. This means, we can presume Phoenix Global Resources will grow its earnings by 20% every year for the next few years.
Next Steps:
For Phoenix Global Resources, I've compiled three essential factors you should look at:
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 PGR'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 PGR? Explore our interactive list of stocks with large growth potential to get an idea of what else is out there you may be missing!
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If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading.
