Industry Analysts Just Upgraded Their Nicolet Bankshares, Inc. (NASDAQ:NCBS) Revenue Forecasts By 14%

Shareholders in Nicolet Bankshares, Inc. (NASDAQ:NCBS) 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 the upgrade, the consensus from Nicolet Bankshares' four analysts is for revenues of US$166m in 2021, which would reflect a definite 19% decline in sales compared to the last year of performance. Statutory earnings per share are anticipated to drop 14% to US$6.20 in the same period. Before this latest update, the analysts had been forecasting revenues of US$145m and earnings per share (EPS) of US$5.83 in 2021. The forecasts seem more optimistic now, with a substantial gain in revenue and a modest lift to earnings per share estimates.

View our latest analysis for Nicolet Bankshares

Taking a look at the bigger picture now, one of the ways we can understand these forecasts is to see how they compare to both past performance and industry growth estimates. These estimates imply that sales are expected to slow, with a forecast annualised revenue decline of 34% by the end of 2021. This indicates a significant reduction from annual growth of 16% 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 4.0% per year. It's pretty clear that Nicolet Bankshares' revenues are expected to perform substantially worse than the wider industry.

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 Nicolet Bankshares.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have estimates - from multiple Nicolet Bankshares 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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