Industry Analysts Just Made An Incredible Upgrade To Their MedinCell S.A. (EPA:MEDCL) Revenue Forecasts

MedinCell S.A. (EPA:MEDCL) shareholders will have a reason to smile today, with the analysts making substantial upgrades to this year's statutory forecasts. The analysts have sharply increased their revenue numbers, with a view that MedinCell will make substantially more sales than they'd previously expected. The market seems to be pricing in some improvement in the business too, with the stock up 5.3% over the past week, closing at €16.76. Could this big upgrade push the stock even higher?

Following the upgrade, the latest consensus from MedinCell's five analysts is for revenues of €22m in 2025, which would reflect a huge 68% improvement in sales compared to the last 12 months. Before the latest update, the analysts were foreseeing €17m of revenue in 2025. The consensus has definitely become more optimistic, showing a great increase in revenue forecasts.

Check out our latest analysis for MedinCell

We'd point out that there was no major changes to their price target of €22.83, suggesting the latest estimates were not enough to shift their view on the value of the business.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the MedinCell's past performance and to peers in the same industry. The analysts are definitely expecting MedinCell's growth to accelerate, with the forecast 68% annualised growth to the end of 2025 ranking favourably alongside historical growth of 19% per annum over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 4.6% annually. Factoring in the forecast acceleration in revenue, it's pretty clear that MedinCell is expected to grow much faster than its industry.

The Bottom Line

The highlight for us was that analysts increased their revenue forecasts for MedinCell this year. The analysts also expect revenues to grow faster than the wider market. Seeing the dramatic upgrade to this year's forecasts, it might be time to take another look at MedinCell.

That's a pretty serious upgrade, but shareholders might be even more pleased to know that forecasts expect MedinCell to be able to reach break-even within the next few years. For more information, you can click through to our free platform to learn more about these forecasts.

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

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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.