The most recent earnings update Cellectis SA.’s (NASDAQ:CLLS) released in December 2017 signalled that losses became smaller relative to the prrior year’s level as a result of recent tailwinds Investors may find it useful to understand how market analysts predict Cellectis’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. See our latest analysis for Cellectis
Market analysts’ consensus outlook for the upcoming year seems relatively unexciting, with earnings continuing to flop around in the negative territory, generating -US$98.64M in 2019. Moreover, earnings should fall further in the following year, decreasing to -US$102.31M in 2020 and -US$103.21M in 2021.
Although it is useful to be aware of the growth rate year by year relative to today’s figure, it may be more beneficial gauging the rate at which the company is growing every year, on average. The pro of this technique is that we can get a bigger picture of the direction of Cellectis’s earnings trajectory over the long run, irrespective of near term fluctuations, fluctuate up and down. 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 5.47%. This means, we can anticipate Cellectis will grow its earnings by 5.47% every year for the next couple of years.
For Cellectis, I’ve put together three key aspects you should further research:
- 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.
- Future Earnings: How does CLLS’s growth rate compare to its peers and the wider market? Dig deeper into the analyst consensus number for the upcoming years by interacting with our free analyst growth expectation chart.
- Other High-Growth Alternatives: Are there other high-growth stocks you could be holding instead of CLLS? 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.