Yahoo Finance Analysts Are Updating Their Cryoport, Inc. (NASDAQ:CYRX) Estimates After Its Full-Year Results
There's been a notable change in appetite for Cryoport, Inc. (NASDAQ:CYRX) shares in the week since its yearly report, with the stock down 15% to US$14.73. It was a pretty bad result overall; while revenues were in line with expectations at US$233m, statutory losses exploded to US$2.21 per share. The analysts typically update their forecasts at each earnings report, and we can judge from their estimates whether their view of the company has changed or if there are any new concerns to be aware of. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analysts have changed their mind on Cryoport after the latest results.
See our latest analysis for Cryoport
Taking into account the latest results, the most recent consensus for Cryoport from nine analysts is for revenues of US$245.8m in 2024. If met, it would imply an okay 5.4% increase on its revenue over the past 12 months. The loss per share is expected to greatly reduce in the near future, narrowing 36% to US$1.40. Before this latest report, the consensus had been expecting revenues of US$253.2m and US$0.98 per share in losses. So it's pretty clear the analysts have mixed opinions on Cryoport after this update; revenues were downgraded and per-share losses expected to increase.
The average price target was broadly unchanged at US$17.61, perhaps implicitly signalling that the weaker earnings outlook is not expected to have a long-term impact on the valuation. Fixating on a single price target can be unwise though, since the consensus target is effectively the average of analyst price targets. As a result, some investors like to look at the range of estimates to see if there are any diverging opinions on the company's valuation. The most optimistic Cryoport analyst has a price target of US$22.00 per share, while the most pessimistic values it at US$14.50. There are definitely some different views on the stock, but the range of estimates is not wide enough as to imply that the situation is unforecastable, in our view.
Looking at the bigger picture now, one of the ways we can make sense of these forecasts is to see how they measure up against both past performance and industry growth estimates. We would highlight that Cryoport's revenue growth is expected to slow, with the forecast 5.4% annualised growth rate until the end of 2024 being well below the historical 42% p.a. growth over the last five years. Juxtapose this against the other companies in the industry with analyst coverage, which are forecast to grow their revenues (in aggregate) 6.1% annually. Factoring in the forecast slowdown in growth, it looks like Cryoport is forecast to grow at about the same rate as the wider industry.
The Bottom Line
The most important thing to note is the forecast of increased losses next year, suggesting all may not be well at Cryoport. Sadly, they also downgraded their revenue forecasts, but the business is still expected to grow at roughly the same rate as the industry itself. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.
With that in mind, we wouldn't be too quick to come to a conclusion on Cryoport. Long-term earnings power is much more important than next year's profits. At Simply Wall St, we have a full range of analyst estimates for Cryoport going out to 2026, and you can see them free on our platform here..
Don't forget that there may still be risks. For instance, we've identified 1 warning sign for Cryoport that you should be aware of.
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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.
