DBV Technologies S.A. (EPA:DBV) Released Earnings Last Week And Analysts Lifted Their Price Target To €6.50

As you might know, DBV Technologies S.A. (EPA:DBV) recently reported its quarterly numbers. Revenues came in at US$1.4m, a whole 20% below what the analysts were forecasting. Losses were a (relative) bright spot by comparison, with a per-share (statutory) loss of US$0.28 substantially smaller than what was expected. Following the result, the analysts have updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.

See our latest analysis for DBV Technologies

Taking into account the latest results, the two analysts covering DBV Technologies provided consensus estimates of US$6.85m revenue in 2024, which would reflect a stressful 54% decline over the past 12 months. Losses are supposed to decline, shrinking 10% from last year to US$0.74. Before this earnings announcement, the analysts had been modelling revenues of US$7.02m and losses of US$0.83 per share in 2024. While the revenue estimates fell, sentiment seems to have improved, with the analysts making a cut to losses per share in particular.

There was a decent 36% increase in the price target to €6.50, with the analysts clearly signalling that the expected reduction in losses is a positive, despite a weaker revenue outlook.

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. One more thing stood out to us about these estimates, and it's the idea that DBV Technologies' decline is expected to accelerate, with revenues forecast to fall at an annualised rate of 65% to the end of 2024. This tops off a historical decline of 13% a year over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to see their revenue grow 38% per year. So it's pretty clear that, while it does have declining revenues, the analysts also expect DBV Technologies to suffer worse than the wider industry.

The Bottom Line

The most important thing to take away is that the analysts reconfirmed their loss per share estimates for next year. On the negative side, they also downgraded their revenue estimates, and forecasts imply they will perform worse than the wider industry. Still, earnings per share are more important to value creation for shareholders. 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. We have analyst estimates for DBV Technologies going out as far as 2026, and you can see them free on our platform here.

You still need to take note of risks, for example - DBV Technologies has 5 warning signs (and 2 which can't be ignored) we think you should know about.

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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.