CVRx, Inc. (NASDAQ:CVRX) Released Earnings Last Week And Analysts Lifted Their Price Target To US$11.50

CVRx, Inc. (NASDAQ:CVRX) just released its quarterly report and things are looking bullish. CVRx beat expectations with revenues of US$15m arriving 3.8% ahead of forecasts. The company also reported a statutory loss of US$0.49, 2.2% smaller than was expected. Following the result, the analysts have updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year.

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After the latest results, the seven analysts covering CVRx are now predicting revenues of US$64.8m in 2026. If met, this would reflect a meaningful 16% improvement in revenue compared to the last 12 months. Losses are expected to hold steady at around US$1.96. Before this earnings announcement, the analysts had been modelling revenues of US$66.4m and losses of US$1.89 per share in 2026. Overall it looks as though the analysts are negative in this update. Although revenue forecasts held steady, the consensus also made a moderate increase in to its losses per share forecasts.

View our latest analysis for CVRx

The average price target lifted 6.2% to US$11.50, clearly signalling that the weaker revenue and EPS outlook are not expected to weigh on the stock over the longer term. The consensus price target is just an average of individual analyst targets, so - it could be handy to see how wide the range of underlying estimates is. Currently, the most bullish analyst values CVRx at US$14.00 per share, while the most bearish prices it at US$7.00. Note the wide gap in analyst price targets? This implies to us that there is a fairly broad range of possible scenarios for the underlying business.

Of course, another way to look at these forecasts is to place them into context against the industry itself. It's pretty clear that there is an expectation that CVRx's revenue growth will slow down substantially, with revenues to the end of 2026 expected to display 12% growth on an annualised basis. This is compared to a historical growth rate of 39% over the past five years. Juxtapose this against the other companies in the industry with analyst coverage, which are forecast to grow their revenues (in aggregate) 8.4% per year. Even after the forecast slowdown in growth, it seems obvious that CVRx is also expected to grow faster than the wider industry.

The Bottom Line

The most important thing to take away is that the analysts increased their loss per share estimates for next year. They also downgraded CVRx's revenue estimates, but industry data suggests that it is expected to grow faster than the wider industry. There was also a nice increase in the price target, with the analysts clearly feeling that the intrinsic value of the business is improving.

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 CVRx analysts - going out to 2027, and you can see them free on our platform here.

Even so, be aware that CVRx is showing 1 warning sign in our investment analysis , you should know about...

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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.