US$18.00: That's What Analysts Think MiMedx Group, Inc. (NASDAQ:MDXG) Is Worth After Its Latest Results

There's been a notable change in appetite for MiMedx Group, Inc. (NASDAQ:MDXG) shares in the week since its first-quarter report, with the stock down 13% to US$9.70. Revenues of US$60m arrived in line with expectations, although statutory losses per share were US$0.09, an impressive 53% smaller than what broker models predicted. 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. We've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.

Check out our latest analysis for MiMedx Group

Following last week's earnings report, MiMedx Group's two analysts are forecasting 2021 revenues to be US$245.0m, approximately in line with the last 12 months. Losses are predicted to fall substantially, shrinking 53% to US$0.38. Before this latest report, the consensus had been expecting revenues of US$245.0m and US$0.38 per share in losses.

The analysts trimmed their valuations, with the average price target falling 5.3% to US$18.00, with the ongoing losses seemingly weighing on sentiment, despite no real changes to the earnings forecasts.

One way to get more context on these forecasts is to look at how they compare to both past performance, and how other companies in the same industry are performing. We would highlight that sales are expected to reverse, with a forecast 0.8% annualised revenue decline to the end of 2021. That is a notable change from historical growth of 3.2% over the last five years. Compare this with our data, which suggests that other companies in the same industry are, in aggregate, expected to see their revenue grow 16% per year. It's pretty clear that MiMedx Group's revenues are expected to perform substantially worse than the wider industry.

The Bottom Line

The most obvious conclusion is that the analysts made no changes to their forecasts for a loss next year. On the plus side, there were no major changes to revenue estimates; although forecasts imply revenues 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 MiMedx Group's future valuation.

Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. At least one analyst has provided forecasts out to 2025, which can be seen for free on our platform here.

It is also worth noting that we have found 2 warning signs for MiMedx Group that you need to take into consideration.

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