Broker Revenue Forecasts For Neogen Corporation (NASDAQ:NEOG) Are Surging Higher

Neogen Corporation (NASDAQ:NEOG) shareholders will have a reason to smile today, with the analysts making substantial upgrades to this year's forecasts. The consensus estimated revenue numbers rose, with their view now clearly much more bullish on the company's business prospects.

Following the upgrade, the most recent consensus for Neogen from its dual analysts is for revenues of US$703m in 2023 which, if met, would be a huge 33% increase on its sales over the past 12 months. Before the latest update, the analysts were foreseeing US$563m of revenue in 2023. It looks like there's been a clear increase in optimism around Neogen, given the great increase in revenue forecasts.

Check out our latest analysis for Neogen

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Neogen's past performance and to peers in the same industry. It's clear from the latest estimates that Neogen's rate of growth is expected to accelerate meaningfully, with the forecast 33% annualised revenue growth to the end of 2023 noticeably faster than its historical growth of 6.6% p.a. over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 7.8% per year. Factoring in the forecast acceleration in revenue, it's pretty clear that Neogen is expected to grow much faster than its 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 grow faster than the wider market. Seeing the dramatic upgrade to this year's forecasts, it might be time to take another look at Neogen.

Looking to learn more? At least one of Neogen's dual analysts has provided estimates out to 2024, which can be seen for free on our platform here.

Of course, seeing company management invest large sums of money in a stock can be just as useful as knowing whether analysts are upgrading their estimates. So you may also wish to search this free list of stocks that insiders are buying.

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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.