News Flash: Analysts Just Made A Sizeable Upgrade To Their Primis Financial Corp. (NASDAQ:FRST) Forecasts

Shareholders in Primis Financial Corp. (NASDAQ:FRST) may be thrilled to learn that the analysts have just delivered a major upgrade to their near-term forecasts. The revenue forecast for this year has experienced a facelift, with analysts now much more optimistic on its sales pipeline.

After this upgrade, Primis Financial's three analysts are now forecasting revenues of US$116m in 2022. This would be a credible 4.7% improvement in sales compared to the last 12 months. Statutory earnings per share are anticipated to fall 12% to US$1.11 in the same period. Previously, the analysts had been modelling revenues of US$100m and earnings per share (EPS) of US$1.08 in 2022. The forecasts seem more optimistic now, with a nice increase in revenue and a slight bump in earnings per share estimates.

See our latest analysis for Primis Financial

Of course, another way to look at these forecasts is to place them into context against the industry itself. We would highlight that Primis Financial's revenue growth is expected to slow, with the forecast 4.7% annualised growth rate until the end of 2022 being well below the historical 16% p.a. growth over the last five years. By way of comparison, the other companies in this industry with analyst coverage are forecast to grow their revenue at 6.9% per year. Factoring in the forecast slowdown in growth, it seems obvious that Primis Financial is also expected to grow slower than other industry participants.

The Bottom Line

The most important thing to take away from this upgrade is that analysts upgraded their earnings per share estimates for this year, expecting improving business conditions. Pleasantly, analysts also upgraded their revenue estimates, and their forecasts suggest the business is expected to grow slower than the wider market. Given that analysts appear to be expecting substantial improvement in the sales pipeline, now could be the right time to take another look at Primis Financial.

Even so, the longer term trajectory of the business is much more important for the value creation of shareholders. We have estimates - from multiple Primis Financial analysts - going out to 2023, and you can see them free on our platform here.

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 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.