uniQure NV (NASDAQ:QURE): What Can We Expect In The Future?

In March 2018, uniQure NV (NASDAQ:QURE) released its earnings update. Generally, the consensus outlook from analysts appear bearish, as a -15.00% fall in profits is expected in the upcoming year. Though this is still an improvement on its past 5-year earnings growth rate of -21.82%, on average. Currently with a railing-twelve-month profit of -US$77.78m, the consensus growth rate suggests that earnings will drop to -US$66.11m by 2019. I will provide a brief commentary around the figures and analyst expectations in the near term. Investors wanting to learn more about other aspects of the company should research its fundamentals here.

Check out our latest analysis for uniQure

Can we expect uniQure to keep growing?

Longer term expectations from the 8 analysts covering QURE’s stock is one of positive sentiment. Generally, broker analysts tend to make predictions for up to three years given the lack of visibility beyond this point. To understand the overall trajectory of QURE’s earnings growth over these next fews years, I’ve fitted a line through these analyst earnings forecast to determine an annual growth rate from the slope.
NasdaqGS:QURE Future Profit August 3rd 18
NasdaqGS:QURE Future Profit August 3rd 18
From the current net income level of -US$79.26m and the final forecast of -US$32.89m by 2021, the annual rate of growth for QURE’s earnings is 18.15%. However, if we exclude extraordinary items from net income, we see that earnings is projected to fall over time, resulting in an EPS of $-3.12 in the final year of forecast compared to the current $-2.94 EPS today. Growth in earnings appears to be a result of revenue expansion of 63.35% exceeeding cost growth over time. As revenues is expected to outpace earnings, analysts expect margins to contract from the current -604.72% to -213.40% by the end of 2021.

Next Steps:

Future outlook is only one aspect when you’re building an investment case for a stock. For uniQure, there are three key factors you should further research:

  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. Management:Have insiders been ramping up their shares to take advantage of the market’s sentiment for uniQure’s future outlook? Check out our management and board analysis with insights on CEO compensation and governance factors.
  3. Other High-Growth Alternatives : Are there other high-growth stocks you could be holding instead of uniQure? Explore our interactive list of stocks with large growth potential to get an idea of what else is out there you may be missing!

To help readers see past the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price-sensitive company announcements.

The author is an independent contributor and at the time of publication had no position in the stocks mentioned. For errors that warrant correction please contact the editor at editorial-team@simplywallst.com.