Downgrade: What You Need To Know About The Latest Dubber Corporation Limited (ASX:DUB) Forecasts

The analyst covering Dubber Corporation Limited (ASX:DUB) delivered a dose of negativity to shareholders today, by making a substantial revision to their statutory forecasts for this year. This report focused on revenue estimates, and it looks as though the consensus view of the business has become substantially more conservative.

Following the downgrade, the latest consensus from Dubber's one analyst is for revenues of AU$42m in 2023, which would reflect a huge 65% improvement in sales compared to the last 12 months. Before the latest update, the analyst was foreseeing AU$55m of revenue in 2023. It looks like forecasts have become a fair bit less optimistic on Dubber, given the sizeable cut to revenue estimates.

See our latest analysis for Dubber

Taking a look at the bigger picture now, one of the ways we can understand these forecasts is to see how they compare to both past performance and industry growth estimates. We can infer from the latest estimates that forecasts expect a continuation of Dubber'shistorical trends, as the 65% annualised revenue growth to the end of 2023 is roughly in line with the 56% annual revenue growth over the past five years. Compare this with the broader industry, which analyst estimates (in aggregate) suggest will see revenues grow 16% annually. So it's pretty clear that Dubber is forecast to grow substantially faster than its industry.

The Bottom Line

The clear low-light was that the analyst slashing their revenue forecasts for Dubber this year. They're also forecasting more rapid revenue growth than the wider market. Given the stark change in sentiment, we'd understand if investors became more cautious on Dubber after today.

Want to learn more? One Dubber broker/analyst has provided estimates out to 2025, which can be seen for 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.

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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.