Aurinia Pharmaceuticals Inc. Beat Analyst Estimates: See What The Consensus Is Forecasting For This Year

Aurinia Pharmaceuticals Inc. (NASDAQ:AUPH) just released its latest quarterly results and things are looking bullish. It was overall a positive result, with revenues beating expectations by 2.3% to hit US$62m. Aurinia Pharmaceuticals also reported a statutory profit of US$0.16, which was an impressive 60% above what the analysts had forecast. 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. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.

Our free stock report includes 2 warning signs investors should be aware of before investing in Aurinia Pharmaceuticals. Read for free now.

After the latest results, the six analysts covering Aurinia Pharmaceuticals are now predicting revenues of US$259.0m in 2025. If met, this would reflect a satisfactory 4.7% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to leap 91% to US$0.56. Yet prior to the latest earnings, the analysts had been anticipated revenues of US$258.6m and earnings per share (EPS) of US$0.47 in 2025. Although the revenue estimates have not really changed, we can see there's been a sizeable expansion in earnings per share expectations, suggesting that the analysts have become more bullish after the latest result.

See our latest analysis for Aurinia Pharmaceuticals

The consensus price target fell 7.7% to US$10.00, suggesting the increase in earnings forecasts was not enough to offset other the analysts concerns. 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 Aurinia Pharmaceuticals, with the most bullish analyst valuing it at US$12.00 and the most bearish at US$8.00 per share. 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 Aurinia Pharmaceuticals shareholders.

Looking at the bigger picture now, one of the ways we can make sense of these forecasts is to see how they measure up against both past performance and industry growth estimates. We would highlight that Aurinia Pharmaceuticals' revenue growth is expected to slow, with the forecast 6.3% annualised growth rate until the end of 2025 being well below the historical 44% 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 17% per year. Factoring in the forecast slowdown in growth, it seems obvious that Aurinia Pharmaceuticals is also expected to grow slower than other industry participants.

The Bottom Line

The most important thing here is that the analysts upgraded their earnings per share estimates, suggesting that there has been a clear increase in optimism towards Aurinia Pharmaceuticals following these results. 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 fell measurably, with the analysts seemingly not reassured by the latest results, leading to a lower estimate of Aurinia Pharmaceuticals' future valuation.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have estimates - from multiple Aurinia Pharmaceuticals analysts - going out to 2027, and you can see them free on our platform here.

That said, it's still necessary to consider the ever-present spectre of investment risk. We've identified 2 warning signs with Aurinia Pharmaceuticals , and understanding these should be part of your investment process.

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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.