Earnings Update: SI-BONE, Inc. (NASDAQ:SIBN) Just Reported Its Third-Quarter Results And Analysts Are Updating Their Forecasts

SI-BONE, Inc. (NASDAQ:SIBN) just released its third-quarter report and things are looking bullish. Revenues and losses per share were both better than expected, with revenues of US$49m leading estimates by 4.3%. Statutory losses were smaller than the analystsexpected, coming in at US$0.11 per share. 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. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.

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Taking into account the latest results, the consensus forecast from SI-BONE's nine analysts is for revenues of US$229.5m in 2026. This reflects a decent 19% improvement in revenue compared to the last 12 months. Losses are expected to hold steady at around US$0.50. Before this earnings announcement, the analysts had been modelling revenues of US$228.5m and losses of US$0.47 per share in 2026. So it's pretty clear consensus is mixed on SI-BONE after the new consensus numbers; while the analysts held their revenue numbers steady, they also administered a modest increase to per-share loss expectations.

Check out our latest analysis for SI-BONE

The consensus price target held steady at US$24.89, seemingly implying that the higher forecast losses are not expected to have a long term impact on the company's valuation. That's not the only conclusion we can draw from this data however, as some investors also like to consider the spread in estimates when evaluating analyst price targets. There are some variant perceptions on SI-BONE, with the most bullish analyst valuing it at US$32.00 and the most bearish at US$20.00 per share. There are definitely some different views on the stock, but the range of estimates is not wide enough as to imply that the situation is unforecastable, in our view.

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. We would highlight that SI-BONE's revenue growth is expected to slow, with the forecast 15% annualised growth rate until the end of 2026 being well below the historical 20% 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 8.4% annually. Even after the forecast slowdown in growth, it seems obvious that SI-BONE 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. Fortunately, they also reconfirmed their revenue numbers, suggesting that it's tracking in line with expectations. Additionally, our data suggests that revenue is expected to grow faster than the wider industry. The consensus price target held steady at US$24.89, with the latest estimates not enough to have an impact on their price targets.

With that in mind, we wouldn't be too quick to come to a conclusion on SI-BONE. Long-term earnings power is much more important than next year's profits. We have forecasts for SI-BONE going out to 2027, and you can see them free on our platform here.

Don't forget that there may still be risks. For instance, we've identified 2 warning signs for SI-BONE that 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.