PeptiDream Inc. Just Missed Earnings; Here's What Analysts Are Forecasting Now

It's been a good week for PeptiDream Inc. (TSE:4587) shareholders, because the company has just released its latest quarterly results, and the shares gained 3.1% to JP¥2,885. The results don't look great, especially considering that the analysts had been forecasting a profit and PeptiDream delivered a statutory loss of JP¥2.35 per share. Revenues of JP¥5.5b did beat expectations by 4.2% though. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year.

See our latest analysis for PeptiDream

Taking into account the latest results, the eight analysts covering PeptiDream provided consensus estimates of JP¥40.1b revenue in 2025, which would reflect a considerable 16% decline over the past 12 months. Statutory earnings per share are expected to plummet 38% to JP¥82.15 in the same period. Yet prior to the latest earnings, the analysts had been anticipated revenues of JP¥40.3b and earnings per share (EPS) of JP¥82.36 in 2025. So it's pretty clear that, although the analysts have updated their estimates, there's been no major change in expectations for the business following the latest results.

The analysts reconfirmed their price target of JP¥3,364, showing that the business is executing well and in line with expectations. There's another way to think about price targets though, and that's to look at the range of price targets put forward by analysts, because a wide range of estimates could suggest a diverse view on possible outcomes for the business. There are some variant perceptions on PeptiDream, with the most bullish analyst valuing it at JP¥4,900 and the most bearish at JP¥2,700 per share. This is a fairly broad spread of estimates, suggesting that analysts are forecasting a wide range of possible outcomes for the business.

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 revenue is expected to reverse, with a forecast 13% annualised decline to the end of 2025. That is a notable change from historical growth of 43% 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 13% per year. So although its revenues are forecast to shrink, this cloud does not come with a silver lining - PeptiDream is expected to lag the wider industry.

The Bottom Line

The most important thing to take away is that there's been no major change in sentiment, with the analysts reconfirming that the business is performing in line with their previous earnings per share estimates. Fortunately, the analysts also reconfirmed their revenue estimates, suggesting that it's tracking in line with expectations. Although our data does suggest that PeptiDream's revenue is expected to perform worse than the wider industry. The consensus price target held steady at JP¥3,364, with the latest estimates not enough to have an impact on their price targets.

Following on from that line of thought, we think that the long-term prospects of the business are much more relevant than next year's earnings. At Simply Wall St, we have a full range of analyst estimates for PeptiDream going out to 2026, and you can see them free on our platform here..

That said, it's still necessary to consider the ever-present spectre of investment risk. We've identified 2 warning signs with PeptiDream (at least 1 which makes us a bit uncomfortable) , and understanding them should be part of your investment process.

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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.