News Flash: Analysts Just Made A Captivating Upgrade To Their Dorian LPG Ltd. (NYSE:LPG) Forecasts

Celebrations may be in order for Dorian LPG Ltd. (NYSE:LPG) shareholders, with the analysts delivering a significant upgrade to their statutory estimates for the company. The consensus estimated revenue numbers rose, with their view now clearly much more bullish on the company's business prospects.

After the upgrade, the three analysts covering DorianG are now predicting revenues of US$513m in 2024. If met, this would reflect a huge 21% improvement in sales compared to the last 12 months. Prior to the latest estimates, the analysts were forecasting revenues of US$450m in 2024. The consensus has definitely become more optimistic, showing a substantial gain in revenue forecasts.

View our latest analysis for DorianG

The consensus price target rose 5.1% to US$28.66, with the analysts clearly more optimistic about DorianG's prospects following this update.

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. It's clear from the latest estimates that DorianG's rate of growth is expected to accelerate meaningfully, with the forecast 29% annualised revenue growth to the end of 2024 noticeably faster than its historical growth of 15% p.a. over the past five years. Compare this with other companies in the same industry, which are forecast to see a revenue decline of 2.7% annually. So it's clear with the acceleration in growth, DorianG is expected to grow meaningfully faster than the wider industry.

The Bottom Line

The most important thing to take away from this upgrade is that analysts lifted their revenue estimates for this year. Analysts also expect revenues to perform better than the wider market. There was also a nice increase in the price target, with analysts apparently feeling that the intrinsic value of the business is improving. Seeing the dramatic upgrade to this year's forecasts, it might be time to take another look at DorianG.

Analysts are definitely bullish on DorianG, but no company is perfect. Indeed, you should know that there are several potential concerns to be aware of, including a weak balance sheet. You can learn more, and discover the 3 other risks we've identified, for free on our platform here.

You can also see our analysis of DorianG's Board and CEO remuneration and experience, and whether company insiders have been buying stock.

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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.