Analysts Have Just Cut Their Dana Gas PJSC (ADX:DANA) Revenue Estimates By 28%

Today is shaping up negative for Dana Gas PJSC (ADX:DANA) shareholders, with the analysts delivering a substantial negative revision to this year's forecasts. Revenue estimates were cut sharply as the analysts signalled a weaker outlook - perhaps a sign that investors should temper their expectations as well.

Following the latest downgrade, the current consensus, from the three analysts covering Dana Gas PJSC, is for revenues of US$343m in 2023, which would reflect a measurable 6.3% reduction in Dana Gas PJSC's sales over the past 12 months. Before the latest update, the analysts were foreseeing US$477m of revenue in 2023. The consensus view seems to have become more pessimistic on Dana Gas PJSC, noting the pretty serious reduction to revenue estimates in this update.

View our latest analysis for Dana Gas PJSC

Of course, another way to look at these forecasts is to place them into context against the industry itself. These estimates imply that sales are expected to slow, with a forecast annualised revenue decline of 8.3% by the end of 2023. This indicates a significant reduction from annual growth of 6.8% over the last five years. By contrast, our data suggests that other companies (with analyst coverage) in the industry are forecast to see their revenue decline 5.3% annually for the foreseeable future. The forecasts do look bearish for Dana Gas PJSC, since they're expecting it to shrink faster than the industry.

The Bottom Line

The clear low-light was that analysts slashing their revenue forecasts for Dana Gas PJSC this year. They're also forecasting for revenues to shrink at a quicker rate than companies in the wider market. Given the stark change in sentiment, we'd understand if investors became more cautious on Dana Gas PJSC after today.

As you can see, the analysts clearly aren't bullish, and there might be good reason for that. We've identified some potential issues with Dana Gas PJSC's financials, such as the risk of cutting its dividend. For more information, you can click here to discover this and the 1 other concern we've identified.

Of course, seeing company management invest large sums of money in a stock can be just as useful as knowing whether analysts are downgrading their estimates. So you may also wish to search this free list of stocks that insiders are buying.

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