Today is shaping up negative for RAPT Therapeutics, Inc. (NASDAQ:RAPT) shareholders, with the analysts delivering a substantial negative revision to this year's forecasts. Revenue estimates were cut sharply as analysts signalled a weaker outlook - perhaps a sign that investors should temper their expectations as well.
Following the downgrade, the most recent consensus for RAPT Therapeutics from its four analysts is for revenues of US$3.9m in 2020 which, if met, would be a major 316% increase on its sales over the past 12 months. Losses are predicted to fall substantially, shrinking 48% to US$2.46. Yet prior to the latest estimates, the analysts had been forecasting revenues of US$6.7m and losses of US$2.36 per share in 2020. Ergo, there's been a clear change in sentiment, with the analysts administering a notable cut to this year's revenue estimates, while at the same time increasing their loss per share forecasts.
The Bottom Line
The most important thing to take away is that analysts increased their loss per share estimates for this year. Overall, given the drastic downgrade to this year's forecasts, we'd be feeling a little more wary of RAPT Therapeutics going forwards.
With that said, the long-term trajectory of the company's earnings is a lot more important than next year. At Simply Wall St, we have a full range of analyst estimates for RAPT Therapeutics going out to 2024, and you can see them free on our platform here.
Another way to search for interesting companies that could be reaching an inflection point is to track whether management are buying or selling, with our free list of growing companies that insiders are buying.
Love or hate this article? Concerned about the content? Get in touch with us directly. Alternatively, email email@example.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. 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. Thank you for reading.