Revenue Downgrade: Here's What Analysts Forecast For Innate Pharma S.A. (EPA:IPH)

Today is shaping up negative for Innate Pharma S.A. (EPA:IPH) shareholders, with the analysts delivering a substantial negative revision to this year's forecasts. There was a fairly draconian cut to their revenue estimates, perhaps an implicit admission that previous forecasts were much too optimistic.

Following the latest downgrade, the five analysts covering Innate Pharma provided consensus estimates of €41m revenue in 2021, which would reflect a disturbing 42% decline on its sales over the past 12 months. Prior to the latest estimates, the analysts were forecasting revenues of €54m in 2021. The consensus view seems to have become more pessimistic on Innate Pharma, noting the sizeable cut to revenue estimates in this update.

View our latest analysis for Innate Pharma

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Innate Pharma's past performance and to peers in the same industry. We would highlight that sales are expected to reverse, with a forecast 42% annualised revenue decline to the end of 2021. That is a notable change from historical growth of 15% 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 36% per year. It's pretty clear that Innate Pharma's revenues are expected to perform substantially worse than the wider industry.

The Bottom Line

The most important thing to take away is that analysts cut their revenue estimates for this year. They're also anticipating slower revenue growth than the wider market. Given the stark change in sentiment, we'd understand if investors became more cautious on Innate Pharma after today.

Hungry for more information? We have estimates for Innate Pharma from its five analysts out until 2025, and you can see them free on our platform here.

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