News Flash: Analysts Just Made A Meaningful Upgrade To Their TG Therapeutics, Inc. (NASDAQ:TGTX) Forecasts

TG Therapeutics, Inc. (NASDAQ:TGTX) shareholders will have a reason to smile today, with the analysts making substantial upgrades to this year's statutory forecasts. The consensus statutory numbers for both revenue and earnings per share (EPS) increased, with their view clearly much more bullish on the company's business prospects. Investors have been pretty optimistic on TG Therapeutics too, with the stock up 18% to US$16.42 over the past week. Could this upgrade be enough to drive the stock even higher?

Following the upgrade, the latest consensus from TG Therapeutics' seven analysts is for revenues of US$311m in 2024, which would reflect a modest 7.5% improvement in sales compared to the last 12 months. Statutory earnings per share are anticipated to plunge 72% to US$0.079 in the same period. Yet before this consensus update, the analysts had been forecasting revenues of US$268m and losses of US$0.11 per share in 2024. It looks like there's been a definite improvement in business conditions, with a revenue upgrade supposed to lead to profitability sooner than previously forecast.

Check out our latest analysis for TG Therapeutics

With these upgrades, we're not surprised to see that the analysts have lifted their price target 5.5% to US$31.38 per share.

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. We would highlight that TG Therapeutics' revenue growth is expected to slow, with the forecast 10% annualised growth rate until the end of 2024 being well below the historical 95% p.a. growth over the last five years. By way of comparison, the other companies in this industry with analyst coverage are forecast to grow their revenue at 18% per year. Factoring in the forecast slowdown in growth, it seems obvious that TG Therapeutics is also expected to grow slower than other industry participants.

The Bottom Line

The most important thing to take away from this upgrade is that the consensus now expects TG Therapeutics to become profitable this year. Pleasantly, analysts also upgraded their revenue estimates, and their forecasts suggest the business is expected to grow slower than the wider market. Given that the consensus looks almost universally bullish, with a substantial increase to forecasts and a higher price target, TG Therapeutics could be worth investigating further.

Still, the long-term prospects of the business are much more relevant than next year's earnings. We have estimates - from multiple TG Therapeutics analysts - going out to 2026, and you can see them free on our platform here.

Of course, seeing company management invest large sums of money in a stock can be just as useful as knowing whether analysts are upgrading their estimates. So you may also wish to search this free list of stocks 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.