What Does The Future Hold For CureVac N.V. (NASDAQ:CVAC)? These Analysts Have Been Cutting Their Estimates

One thing we could say about the analysts on CureVac N.V. (NASDAQ:CVAC) - they aren't optimistic, having just made a major negative revision to their near-term (statutory) forecasts for the organization. This report focused on revenue estimates, and it looks as though the consensus view of the business has become substantially more conservative.

After the downgrade, the eight analysts covering CureVac are now predicting revenues of €55m in 2023. If met, this would reflect a substantial 46% improvement in sales compared to the last 12 months. Prior to the latest estimates, the analysts were forecasting revenues of €68m in 2023. It looks like forecasts have become a fair bit less optimistic on CureVac, given the measurable cut to revenue estimates.

View our latest analysis for CureVac

We'd point out that there was no major changes to their price target of €14.30, suggesting the latest estimates were not enough to shift their view on the value of the business. The consensus price target is just an average of individual analyst targets, so - it could be handy to see how wide the range of underlying estimates is. There are some variant perceptions on CureVac, with the most bullish analyst valuing it at €20.31 and the most bearish at €7.36 per share. Note the wide gap in analyst price targets? This implies to us that there is a fairly broad range of possible scenarios for the underlying business.

Of course, another way to look at these forecasts is to place them into context against the industry itself. It's clear from the latest estimates that CureVac's rate of growth is expected to accelerate meaningfully, with the forecast 113% annualised revenue growth to the end of 2023 noticeably faster than its historical growth of 7.6% p.a. over the past three years. Compare this with other companies in the same industry, which are forecast to grow their revenue 15% annually. Factoring in the forecast acceleration in revenue, it's pretty clear that CureVac is expected to grow much faster than its industry.

The Bottom Line

The most important thing to take away is that analysts cut their revenue estimates for this year. The analysts also expect revenues to grow faster than the wider market. Often, one downgrade can set off a daisy-chain of cuts, especially if an industry is in decline. So we wouldn't be surprised if the market became a lot more cautious on CureVac after today.

Thirsting for more data? At least one of CureVac's eight analysts has provided estimates out to 2025, which can be seen for free on our platform here.

Another way to search for interesting companies that could be reaching an inflection point is to track whether management are buying or selling, with our free list of growing companies that insiders are buying.

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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.