News Flash: Analysts Just Made A Captivating Upgrade To Their AnaptysBio, Inc. (NASDAQ:ANAB) Forecasts

AnaptysBio, Inc. (NASDAQ:ANAB) shareholders will have a reason to smile today, with the analysts making substantial upgrades to this year's statutory forecasts. The analysts have sharply increased their revenue numbers, with a view that AnaptysBio will make substantially more sales than they'd previously expected.

After the upgrade, the ten analysts covering AnaptysBio are now predicting revenues of US$41m in 2024. If met, this would reflect a sizeable 80% improvement in sales compared to the last 12 months. Losses are forecast to hold steady at around US$5.90 per share. However, before this estimates update, the consensus had been expecting revenues of US$36m and US$6.02 per share in losses. We can see there's definitely been a change in sentiment in this update, with the analysts administering a sizeable upgrade to this year's revenue estimates, while at the same time reducing their loss estimates.

View our latest analysis for AnaptysBio

Despite these upgrades, the analysts have not made any major changes to their price target of US$43.78, implying that their latest estimates don't have a long term impact on what they think the stock is worth.

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. For example, we noticed that AnaptysBio's rate of growth is expected to accelerate meaningfully, with revenues forecast to exhibit 119% growth to the end of 2024 on an annualised basis. That is well above its historical decline of 0.5% a year over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in the industry are forecast to see their revenue grow 18% per year. So it looks like AnaptysBio is expected to grow faster than its competitors, at least for a while.

The Bottom Line

The most important thing here is that analysts reduced their loss per share estimates for this year, reflecting increased optimism around AnaptysBio's prospects. They also upgraded their revenue estimates for this year, and sales are expected 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 AnaptysBio.

These earnings upgrades look like a sterling endorsement, but before diving in - you should know that we've spotted 5 potential risks with AnaptysBio, including dilutive stock issuance over the past year. You can learn more, and discover the 4 other risks we've identified, 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 with high insider ownership.

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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.