Industry Analysts Just Made A Notable Upgrade To Their Berry Corporation (NASDAQ:BRY) Revenue Forecasts
Berry Corporation (NASDAQ:BRY) shareholders will have a reason to smile today, with the analysts making substantial upgrades to this year's forecasts. The revenue forecast for this year has experienced a facelift, with the analysts now much more optimistic on its sales pipeline.
After the upgrade, the consensus from Berry's three analysts is for revenues of US$878m in 2023, which would reflect a considerable 14% decline in sales compared to the last year of performance. Before the latest update, the analysts were foreseeing US$718m of revenue in 2023. It looks like there's been a clear increase in optimism around Berry, given the considerable lift to revenue forecasts.
Check out our latest analysis for Berry
These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Berry's past performance and to peers in the same industry. These estimates imply that sales are expected to slow, with a forecast annualised revenue decline of 18% by the end of 2023. This indicates a significant reduction from annual growth of 14% over the last five years. Yet aggregate analyst estimates for other companies in the industry suggest that industry revenues are forecast to decline 3.9% per year. The forecasts do look bearish for Berry, since they're expecting it to shrink faster than the industry.
The Bottom Line
The highlight for us was that analysts increased their revenue forecasts for Berry this year. They're also forecasting for revenues to shrink at a quicker rate than companies in the wider market. Given that analysts appear to be expecting substantial improvement in the sales pipeline, now could be the right time to take another look at Berry.
Analysts are definitely bullish on Berry, but no company is perfect. Indeed, you should know that there are several potential concerns to be aware of, including a weak balance sheet. You can learn more, and discover the 2 other concerns we've identified, for free on our platform here.
Another thing to consider is whether management and directors have been buying or selling stock recently. We provide an overview of all open market stock trades for the last twelve months on our platform, 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.
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