Analysts Just Made A Massive Upgrade To Their CorMedix Inc. (NASDAQ:CRMD) Forecasts

Celebrations may be in order for CorMedix Inc. (NASDAQ:CRMD) shareholders, with the analysts delivering a significant upgrade to their statutory estimates for the company. The analysts greatly increased their revenue estimates, suggesting a stark improvement in business fundamentals.

After the upgrade, the four analysts covering CorMedix are now predicting revenues of US$111m in 2025. If met, this would reflect a substantial improvement in sales compared to the last 12 months. Losses are expected to turn into profits real soon, with the analysts forecasting US$0.45 in per-share earnings. Previously, the analysts had been modelling revenues of US$100m and earnings per share (EPS) of US$0.18 in 2025. So we can see there's been a pretty clear increase in analyst sentiment in recent times, with both revenues and earnings per share receiving a decent lift in the latest estimates.

View our latest analysis for CorMedix

Despite these upgrades, the analysts have not made any major changes to their price target of US$14.25, suggesting that the higher estimates are not likely to have a long term impact on what the stock is worth.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the CorMedix's past performance and to peers in the same industry. The analysts are definitely expecting CorMedix's growth to accelerate, with the forecast 5x annualised growth to the end of 2025 ranking favourably alongside historical growth of 81% per annum over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 10% per year. Factoring in the forecast acceleration in revenue, it's pretty clear that CorMedix is expected to grow much faster than its industry.

The Bottom Line

The most important thing to take away from this upgrade is that analysts upgraded their earnings per share estimates for next year, expecting improving business conditions. They also upgraded their revenue estimates for next year, and sales are expected to grow faster than the wider market. The lack of change in the price target is puzzling, but with a serious upgrade to next year's earnings expectations, it might be time to take another look at CorMedix.

Still, the long-term prospects of the business are much more relevant than next year's earnings. We have estimates - from multiple CorMedix analysts - going out to 2026, and you can see them 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.