Need To Know: The Consensus Just Cut Its Molecular Templates, Inc. (NASDAQ:MTEM) Estimates For 2021

Today is shaping up negative for Molecular Templates, Inc. (NASDAQ:MTEM) shareholders, with the analysts delivering a substantial negative revision to next year's forecasts. This report focused on revenue estimates, and it looks as though the consensus view of the business has become substantially more conservative.

Following the downgrade, the current consensus from Molecular Templates' six analysts is for revenues of US$34m in 2021 which - if met - would reflect a major 56% increase on its sales over the past 12 months. Before the latest update, the analysts were foreseeing US$24m of revenue in 2021. The consensus has definitely become more optimistic, showing a considerable lift to revenue forecasts.

View our latest analysis for Molecular Templates

Of course, another way to look at these forecasts is to place them into context against the industry itself. Next year brings more of the same, according to the analysts, with revenue forecast to grow 56%, in line with its 54% annual growth over the past five years. Compare this with the wider industry, which analyst estimates (in aggregate) suggest will see revenues grow 21% next year. So although Molecular Templates is expected to maintain its revenue growth rate, it's definitely expected to grow faster than the wider industry.

The Bottom Line

The highlight for us was that analysts increased their revenue forecasts for Molecular Templates next year. Analysts also expect revenues to grow faster than the wider market. Overall, given the drastic downgrade to next year's forecasts, we'd be feeling a little more wary of Molecular Templates going forwards.

Still got questions? At least one of Molecular Templates' 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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