Market analysts’ consensus outlook for the upcoming year seems relatively muted, with earnings continuing to flop around in the negative territory, generating $-96.2M in 2018. Moreover, earnings should fall further in the following year, declining to $-102.6M in 2019 and $-108.9M in 2020.
Even though it’s useful to understand the rate of growth each year relative to today’s level, it may be more valuable evaluating the rate at which the earnings are rising or falling on average every year. The benefit of this method is that it removes the impact of near term flucuations and accounts for the overarching direction of Iovance Biotherapeutics’s earnings trajectory over time, fluctuate up and down. To compute this rate, I’ve appended a line of best fit through the forecasted earnings by market analysts. The slope of this line is the rate of earnings growth, which in this case is 3.92%. This means that, we can presume Iovance Biotherapeutics will grow its earnings by 3.92% every year for the next few years.
For Iovance Biotherapeutics, I’ve put together three key aspects you should further examine:
1. Financial Health: Does it have a healthy balance sheet? Take a look at our free balance sheet analysis with six simple checks on key factors like leverage and risk.
2. Future Earnings: How does IOVA’s growth rate compare to its peers and the wider market? Dig deeper into the analyst consensus number for the upcoming years by interacting with our free analyst growth expectation chart.
3. Other High-Growth Alternatives : Are there other high-growth stocks you could be holding instead of IOVA? Explore our interactive list of stocks with large growth potential to get an idea of what else is out there you may be missing!