What Are Analysts Saying About The Future Of CHF Solutions Inc’s (NASDAQ:CHFS)?

CHF Solutions Inc’s (NASDAQ:CHFS) released its most recent earnings update in December 2017, which confirmed company earnings became less negative compared to the previous year’s level – great news for investors Investors may find it useful to understand how market analysts predict CHF Solutions’s earnings growth trajectory over the next few years and whether the future looks brighter. I will be using net income excluding extraordinary items in order to exclude one-off volatility which I am not interested in. See our latest analysis for CHF Solutions

Market analysts’ prospects for next year seems positive, with earnings becoming less negative, arriving at -US$9.98M in 2019. Furthermore, earnings are predicted to continue its upward trajectory, generating -US$4.50M in 2020, and -US$1.08M in 2021.

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

While it’s helpful to be aware of the growth rate each year relative to today’s figure, it may be more beneficial to determine the rate at which the company is rising or falling every year, on average. The pro of this approach is that we can get a better picture of the direction of CHF Solutions’s earnings trajectory over the long run, irrespective of near term fluctuations, which may be more relevant for long term investors. To calculate this rate, I put a line of best fit through analyst consensus of forecasted earnings. The slope of this line is the rate of earnings growth, which in this case is 67.94%. This means, we can assume CHF Solutions will grow its earnings by 67.94% every year for the next couple of years.

Next Steps:

For CHF Solutions, there are three essential factors 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. Future Earnings: How does CHFS’s growth rate compare to its peers and the wider market? Dig deeper into the analyst consensus number for the upcoming years by interacting with our free analyst growth expectation chart.
  3. Other High-Growth Alternatives: Are there other high-growth stocks you could be holding instead of CHFS? Explore our interactive list of stocks with large growth potential to get an idea of what else is out there you may be missing!