Ekso Bionics Holdings, Inc. (NASDAQ:EKSO) Released Earnings Last Week And Analysts Lifted Their Price Target To US$10.00

It's shaping up to be a tough period for Ekso Bionics Holdings, Inc. (NASDAQ:EKSO), which a week ago released some disappointing first-quarter results that could have a notable impact on how the market views the stock. It was not a great statutory result, with revenues coming in 25% lower than the analyst predicted. Unsurprisingly, earnings also fell seriously short of forecasts, turning into a per-share loss of US$0.20. This is an important time for investors, as they can track a company's performance in its report, look at what expert is forecasting for next year, and see if there has been any change to expectations for the business. So we collected the latest post-earnings statutory consensus estimate to see what could be in store for next year.

See our latest analysis for Ekso Bionics Holdings

Following the latest results, Ekso Bionics Holdings' single analyst are now forecasting revenues of US$21.5m in 2024. This would be a huge 20% improvement in revenue compared to the last 12 months. Losses are forecast to balloon 119% to US$0.43 per share. Before this earnings announcement, the analyst had been modelling revenues of US$23.5m and losses of US$0.49 per share in 2024. Although the revenue estimate has fallen somewhat, Ekso Bionics Holdings'future looks a little different to the past, with a notable improvement in the loss per share forecasts in particular.

The consensus price target rose 8.1% to US$10.00, with the analyst increasingly optimistic about shrinking losses, despite the expected decline in revenue.

Looking at the bigger picture now, one of the ways we can make sense of these forecasts is to see how they measure up against both past performance and industry growth estimates. It's clear from the latest estimates that Ekso Bionics Holdings' rate of growth is expected to accelerate meaningfully, with the forecast 28% annualised revenue growth to the end of 2024 noticeably faster than its historical growth of 8.3% p.a. over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 8.1% annually. It seems obvious that, while the growth outlook is brighter than the recent past, the analyst also expect Ekso Bionics Holdings to grow faster than the wider industry.

The Bottom Line

The most important thing to take away is that the analyst reconfirmed their loss per share estimates for next year. They also downgraded Ekso Bionics Holdings' revenue estimates, but industry data suggests that it is expected to grow faster than the wider industry. With that said, earnings are more important to the long-term value of the business. We note an upgrade to the price target, suggesting that the analyst believes the intrinsic value of the business is likely to improve over time.

With that in mind, we wouldn't be too quick to come to a conclusion on Ekso Bionics Holdings. Long-term earnings power is much more important than next year's profits. At least one analyst has provided forecasts out to 2026, which can be seen for free on our platform here.

Don't forget that there may still be risks. For instance, we've identified 4 warning signs for Ekso Bionics Holdings (1 is a bit unpleasant) you should be aware of.

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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.