Will Atossa Genetics Inc’s (NASDAQ:ATOS) Earnings Grow Over The Next Few Years?

In December 2017, Atossa Genetics Inc (NASDAQ:ATOS) released its latest earnings announcement, which suggested company earnings became less negative compared to the previous year’s level – great news for investors Below, I’ve presented key growth figures on how market analysts perceive Atossa Genetics’s earnings growth outlook over the next few years and whether the future looks brighter. Note that I will be looking at net income excluding extraordinary items to get a better understanding of the underlying drivers of earnings. Check out our latest analysis for Atossa Genetics

Market analysts’ consensus outlook for next year seems relatively subdued, with earnings continuing to flop around in the negative territory, reaching -US$10.67M in 2019. Moreover, earnings should fall further in the following year, declining to -US$12.55M in 2020 and -US$15.89M in 2021.

NasdaqCM:ATOS Future Profit Apr 10th 18
NasdaqCM:ATOS Future Profit Apr 10th 18

While it’s helpful to understand the growth rate year by year relative to today’s figure, it may be more insightful to evaluate the rate at which the business is moving on average every year. The advantage of this method is that it ignores near term flucuations and accounts for the overarching direction of Atossa Genetics’s earnings trajectory over time, fluctuate up and down. To calculate this rate, I’ve inserted a line of best fit through the forecasted earnings by market analysts. The slope of this line is the rate of earnings growth, which in this case is 25.97%. This means that, we can assume Atossa Genetics will grow its earnings by 25.97% every year for the next few years.

Next Steps:

For Atossa Genetics, I’ve put together three pertinent aspects you should further research:

  1. Financial Health: Does it have a healthy balance sheet? Take a look at our free balance sheet analysis with six simple checks on key factors like leverage and risk.
  2. Valuation: What is ATOS worth today? Is the stock undervalued, even when its growth outlook is factored into its intrinsic value? The intrinsic value infographic in our free research report helps visualize whether ATOS is currently mispriced by the market.
  3. Other High-Growth Alternatives: Are there other high-growth stocks you could be holding instead of ATOS? Explore our interactive list of stocks with large growth potential to get an idea of what else is out there you may be missing!