Need To Know: The Consensus Just Cut Its HOOKIPA Pharma Inc. (NASDAQ:HOOK) Estimates For 2023

One thing we could say about the analysts on HOOKIPA Pharma Inc. (NASDAQ:HOOK) - they aren't optimistic, having just made a major negative revision to their near-term (statutory) forecasts for the organization. Revenue estimates were cut sharply as analysts signalled a weaker outlook - perhaps a sign that investors should temper their expectations as well.

Following this downgrade, HOOKIPA Pharma's six analysts are forecasting 2023 revenues to be US$16m, approximately in line with the last 12 months. Before the latest update, the analysts were foreseeing US$19m of revenue in 2023. It looks like forecasts have become a fair bit less optimistic on HOOKIPA Pharma, given the substantial drop in revenue estimates.

Check out our latest analysis for HOOKIPA Pharma

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. It's also worth noting that the years of declining sales look to have come to an end, with the forecast for flat revenues to the end of 2023. Historically, HOOKIPA Pharma's sales have shrunk approximately 11% annually over the past three years. Compare this against analyst estimates for the broader industry, which suggest that (in aggregate) industry revenues are expected to grow 15% annually. Although HOOKIPA Pharma's revenues are expected to improve, it seems that it is still expected to grow slower than the wider industry.

The Bottom Line

The clear low-light was that analysts slashing their revenue forecasts for HOOKIPA Pharma this year. They also expect company revenue to perform worse 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 HOOKIPA Pharma after today.

Unsatisfied? At least one of HOOKIPA Pharma's six 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.