US$3.00: That's What Analysts Think OptiNose, Inc. (NASDAQ:OPTN) Is Worth After Its Latest Results
It's been a mediocre week for OptiNose, Inc. (NASDAQ:OPTN) shareholders, with the stock dropping 12% to US$1.68 in the week since its latest yearly results. Revenues came in at US$71m, in line with forecasts and the company reported a statutory loss of US$0.32 per share, roughly in line with expectations. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.
Check out our latest analysis for OptiNose
Taking into account the latest results, the consensus forecast from OptiNose's three analysts is for revenues of US$93.0m in 2024. This reflects a major 31% improvement in revenue compared to the last 12 months. Losses are predicted to fall substantially, shrinking 21% to US$0.25. Before this earnings announcement, the analysts had been modelling revenues of US$95.7m and losses of US$0.26 per share in 2024. It looks like there's been a modest increase in sentiment in the recent updates, with the analysts becoming a bit more optimistic in their predictions for losses per share, even though the revenue numbers fell somewhat.
The analysts have cut their price target 14% to US$3.00per share, suggesting that the declining revenue was a more crucial indicator than the forecast reduction in losses.
Another way we can view these estimates is in the context of the bigger picture, such as how the forecasts stack up against past performance, and whether forecasts are more or less bullish relative to other companies in the industry. The period to the end of 2024 brings more of the same, according to the analysts, with revenue forecast to display 31% growth on an annualised basis. That is in line with its 27% annual growth over the past five years. Compare this with the broader industry, which analyst estimates (in aggregate) suggest will see revenues grow 9.1% annually. So although OptiNose is expected to maintain its revenue growth rate, it's definitely expected to grow faster than the wider industry.
The Bottom Line
The most important thing to take away is that the analysts reconfirmed their loss per share estimates for next year. They also downgraded OptiNose's revenue estimates, but industry data suggests that it is expected to grow faster than the wider industry. Yet - earnings are more important to the intrinsic value of the business. The consensus price target fell measurably, with the analysts seemingly not reassured by the latest results, leading to a lower estimate of OptiNose's future valuation.
Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. We have estimates - from multiple OptiNose analysts - going out to 2026, and you can see them free on our platform here.
That said, it's still necessary to consider the ever-present spectre of investment risk. We've identified 2 warning signs with OptiNose (at least 1 which shouldn't be ignored) , and understanding them should be part of your investment process.
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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.
