Analysts Are Updating Their CuriosityStream Inc. (NASDAQ:CURI) Estimates After Its Full-Year Results

There's been a notable change in appetite for CuriosityStream Inc. (NASDAQ:CURI) shares in the week since its yearly report, with the stock down 12% to US$14.58. It was an okay result overall, with revenues coming in at US$40m, roughly what the analysts had been expecting. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analysts have changed their mind on CuriosityStream after the latest results.

View our latest analysis for CuriosityStream

Taking into account the latest results, the most recent consensus for CuriosityStream from five analysts is for revenues of US$70.6m in 2021 which, if met, would be a huge 78% increase on its sales over the past 12 months. Losses are predicted to fall substantially, shrinking 78% to US$0.59. Before this earnings announcement, the analysts had been modelling revenues of US$70.7m and losses of US$0.60 per share in 2021.

The consensus price target was unchanged at US$20.25, suggesting that the business - losses and all - is executing in line with estimates. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. There are some variant perceptions on CuriosityStream, with the most bullish analyst valuing it at US$25.00 and the most bearish at US$12.00 per share. This is a fairly broad spread of estimates, suggesting that analysts are forecasting a wide range of possible outcomes for the business.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the CuriosityStream's past performance and to peers in the same industry. It's pretty clear that there is an expectation that CuriosityStream's revenue growth will slow down substantially, with revenues to the end of 2021 expected to display 78% growth on an annualised basis. This is compared to a historical growth rate of 119% over the past year. Juxtapose this against the other companies in the industry with analyst coverage, which are forecast to grow their revenues (in aggregate) 16% per year. Even after the forecast slowdown in growth, it seems obvious that CuriosityStream is also expected to grow faster than the wider industry.

The Bottom Line

The most obvious conclusion is that the analysts made no changes to their forecasts for a loss next year. Happily, there were no major changes to revenue forecasts, with the business still expected to grow faster than the wider industry. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.

Following on from that line of thought, we think that the long-term prospects of the business are much more relevant than next year's earnings. We have forecasts for CuriosityStream going out to 2025, and you can see them free on our platform here.

Plus, you should also learn about the 2 warning signs we've spotted with CuriosityStream (including 1 which doesn't sit too well with us) .

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