The OPKO Health, Inc. (NASDAQ:OPK) Full-Year Results Are Out And Analysts Have Published New Forecasts

OPKO Health, Inc. (NASDAQ:OPK) defied analyst predictions to release its full-year results, which were ahead of market expectations. Revenues and losses per share were both better than expected, with revenues of US$713m leading estimates by 4.1%. Statutory losses were smaller than the analystsexpected, coming in at US$0.08 per share. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. So we gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.

Check out our latest analysis for OPKO Health

Taking into account the latest results, the six analysts covering OPKO Health provided consensus estimates of US$682.3m revenue in 2025, which would reflect a discernible 4.3% decline over the past 12 months. Per-share losses are expected to explode, reaching US$0.33 per share. Before this earnings announcement, the analysts had been modelling revenues of US$684.9m and losses of US$0.32 per share in 2025. Overall it looks as though the analysts were a bit mixed on the latest consensus updates. Although revenue forecasts held steady, the consensus also made a modest increase to its losses per share forecasts.

The consensus price target held steady at US$3.99, seemingly implying that the higher forecast losses are not expected to have a long term impact on the company's valuation. There's another way to think about price targets though, and that's to look at the range of price targets put forward by analysts, because a wide range of estimates could suggest a diverse view on possible outcomes for the business. There are some variant perceptions on OPKO Health, with the most bullish analyst valuing it at US$8.50 and the most bearish at US$2.00 per share. With such a wide range in price targets, analysts are almost certainly betting on widely divergent outcomes in the underlying business. As a result it might not be a great idea to make decisions based on the consensus price target, which is after all just an average of this wide range of estimates.

Taking a look at the bigger picture now, one of the ways we can understand these forecasts is to see how they compare to both past performance and industry growth estimates. One thing that stands out from these estimates is that shrinking revenues are expected to moderate over the period ending 2025 compared to the historical decline of 11% per annum over the past five years. Compare this against analyst estimates for companies in the broader industry, which suggest that revenues (in aggregate) are expected to grow 7.1% annually. So while a broad number of companies are forecast to grow, unfortunately OPKO Health is expected to see its revenue affected worse than other companies in the industry.

The Bottom Line

The most important thing to take away is that the analysts increased their loss per share estimates for next year. On the plus side, there were no major changes to revenue estimates; although forecasts imply they will perform worse than the wider industry. The consensus price target held steady at US$3.99, with the latest estimates not enough to have an impact on their price targets.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. At Simply Wall St, we have a full range of analyst estimates for OPKO Health going out to 2027, and you can see them free on our platform here..

You still need to take note of risks, for example - OPKO Health has 1 warning sign we think 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.