Yahoo Finance Earnings Update: Here's Why Analysts Just Lifted Their Inogen, Inc. (NASDAQ:INGN) Price Target To US$7.00
Inogen, Inc. (NASDAQ:INGN) just released its latest first-quarter results and things are looking bullish. Results overall were credible, with revenues arriving 5.9% better than analyst forecasts at US$78m. Higher revenues also resulted in lower statutory losses, which were US$0.62 per share, some 5.9% smaller than the analysts expected. 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. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.
View our latest analysis for Inogen
Taking into account the latest results, Inogen's four analysts currently expect revenues in 2024 to be US$322.7m, approximately in line with the last 12 months. The loss per share is expected to greatly reduce in the near future, narrowing 44% to US$2.31. Before this earnings announcement, the analysts had been modelling revenues of US$323.6m and losses of US$2.50 per share in 2024. So there seems to have been a moderate uplift in analyst sentiment with the latest consensus release, given the upgrade to loss per share forecasts for this year.
The average price target rose 7.7% to US$7.00, with the analysts signalling that the forecast reduction in losses would be a positive for the stock's valuation.
These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Inogen's past performance and to peers in the same industry. It's also worth noting that the years of declining revenue look to have come to an end, with the forecast stauing flat to the end of 2024. Historically, Inogen's top line has shrunk approximately 1.0% annually over the past five years. Compare this against analyst estimates for the broader industry, which suggest that (in aggregate) industry revenues are expected to grow 8.1% annually. So it's pretty clear that, although revenues are improving, Inogen is still expected to grow slower than the industry.
The Bottom Line
The most important thing to take away is that the analysts reconfirmed their loss per share estimates for next year. Fortunately, the analysts also reconfirmed their revenue estimates, suggesting that it's tracking in line with expectations. Although our data does suggest that Inogen's revenue is expected to perform worse than the wider industry. We note an upgrade to the price target, suggesting that the analysts believes the intrinsic value of the business is likely to improve over time.
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 Inogen going out to 2026, and you can see them free on our platform here..
Before you take the next step you should know about the 2 warning signs for Inogen that we have uncovered.
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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.
