News Flash: One METabolic EXplorer S.A. (EPA:METEX) Analyst Has Been Trimming Their Revenue Forecasts

The latest analyst coverage could presage a bad day for METabolic EXplorer S.A. (EPA:METEX), with the covering analyst making across-the-board cuts to their statutory estimates that might leave shareholders a little shell-shocked. Revenue estimates were cut sharply as the analyst signalled a weaker outlook - perhaps a sign that investors should temper their expectations as well.

Following the latest downgrade, the single analyst covering METabolic EXplorer provided consensus estimates of €200m revenue in 2023, which would reflect an uncomfortable 12% decline on its sales over the past 12 months. Before the latest update, the analyst was foreseeing €235m of revenue in 2023. It looks like forecasts have become a fair bit less optimistic on METabolic EXplorer, given the measurable cut to revenue estimates.

See our latest analysis for METabolic EXplorer

One way to get more context on these forecasts is to look at how they compare to both past performance, and how other companies in the same industry are performing. We would highlight that sales are expected to reverse, with a forecast 12% annualised revenue decline to the end of 2023. That is a notable change from historical growth of 78% over the last five years. Compare this with our data, which suggests that other companies in the same industry are, in aggregate, expected to see their revenue grow 4.6% per year. So although its revenues are forecast to shrink, this cloud does not come with a silver lining - METabolic EXplorer is expected to lag the wider industry.

The Bottom Line

The clear low-light was that the analyst slashing their revenue forecasts for METabolic EXplorer this year. They also expect company revenue to perform worse than the wider market. Often, one downgrade can set off a daisy-chain of cuts, especially if an industry is in decline. So we wouldn't be surprised if the market became a lot more cautious on METabolic EXplorer after today.

Still got questions? One METabolic EXplorer 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.