Progyny, Inc. Beat Analyst Estimates: See What The Consensus Is Forecasting For This Year

Progyny, Inc. (NASDAQ:PGNY) shareholders are probably feeling a little disappointed, since its shares fell 2.9% to US$22.53 in the week after its latest full-year results. The result was positive overall - although revenues of US$1.2b were in line with what the analysts predicted, Progyny surprised by delivering a statutory profit of US$0.57 per share, modestly greater than 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.

Check out our latest analysis for Progyny

After the latest results, the nine analysts covering Progyny are now predicting revenues of US$1.21b in 2025. If met, this would reflect a credible 3.9% improvement in revenue compared to the last 12 months. Statutory earnings per share are forecast to drop 11% to US$0.56 in the same period. Yet prior to the latest earnings, the analysts had been anticipated revenues of US$1.16b and earnings per share (EPS) of US$0.59 in 2025. So it's pretty clear consensus is mixed on Progyny after the latest results; whilethe analysts lifted revenue numbers, they also administered a minor downgrade to per-share earnings expectations.

The analysts also upgraded Progyny's price target 22% to US$27.00, implying that the higher revenue expected to generate enough value to offset the forecast decline in earnings. 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. Currently, the most bullish analyst values Progyny at US$34.00 per share, while the most bearish prices it at US$23.00. Analysts definitely have varying views on the business, but the spread of estimates is not wide enough in our view to suggest that extreme outcomes could await Progyny shareholders.

Another way we can view these estimates is in the context of the bigger picture, such as how the forecasts stack up against past performance, and whether forecasts are more or less bullish relative to other companies in the industry. We would highlight that Progyny's revenue growth is expected to slow, with the forecast 3.9% annualised growth rate until the end of 2025 being well below the historical 31% p.a. growth over the last five years. By way of comparison, the other companies in this industry with analyst coverage are forecast to grow their revenue at 7.1% per year. Factoring in the forecast slowdown in growth, it seems obvious that Progyny is also expected to grow slower than other industry participants.

The Bottom Line

The biggest concern is that the analysts reduced their earnings per share estimates, suggesting business headwinds could lay ahead for Progyny. They also upgraded their revenue estimates for next year, even though it is expected to grow slower 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. At Simply Wall St, we have a full range of analyst estimates for Progyny going out to 2027, and you can see them free on our platform here..

Another thing to consider is whether management and directors have been buying or selling stock recently. We provide an overview of all open market stock trades for the last twelve months on our platform, here.

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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.