The UroGen Pharma Ltd. (NASDAQ:URGN) Second-Quarter Results Are Out And Analysts Have Published New Forecasts

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Shareholders might have noticed that UroGen Pharma Ltd. (NASDAQ:URGN) filed its second-quarter result this time last week. The early response was not positive, with shares down 8.5% to US$17.75 in the past week. The results don't look great, especially considering that statutory losses grew 28% toUS$1.05 per share. Revenues of US$24m did beat expectations by 4.7%, but it looks like a bit of a cold comfort. 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. So we gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.

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Taking into account the latest results, the most recent consensus for UroGen Pharma from eight analysts is for revenues of US$122.3m in 2025. If met, it would imply a huge 30% increase on its revenue over the past 12 months. Losses are supposed to decline, shrinking 12% from last year to US$2.94. Before this latest report, the consensus had been expecting revenues of US$123.9m and US$2.83 per share in losses. Overall it looks as though the analysts were a bit mixed on the latest consensus updates. Although revenue forecasts held steady, the consensus also made a moderate increase in its losses per share forecasts.

View our latest analysis for UroGen Pharma

The consensus price target held steady at US$34.63, seemingly implying that the higher forecast losses are not expected to have a long term impact on the company's valuation. The consensus price target is just an average of individual analyst targets, so - it could be handy to see how wide the range of underlying estimates is. There are some variant perceptions on UroGen Pharma, with the most bullish analyst valuing it at US$50.00 and the most bearish at US$16.00 per share. This is a fairly broad spread of estimates, suggesting that analysts are forecasting a wide range of possible outcomes for the business.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the UroGen Pharma's past performance and to peers in the same industry. It's clear from the latest estimates that UroGen Pharma's rate of growth is expected to accelerate meaningfully, with the forecast 68% annualised revenue growth to the end of 2025 noticeably faster than its historical growth of 32% p.a. over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 19% per year. Factoring in the forecast acceleration in revenue, it's pretty clear that UroGen Pharma is expected to grow much faster than its industry.

The Bottom Line

The most important thing to take away is that the analysts increased their loss per share estimates for next year. Fortunately, they also reconfirmed their revenue numbers, suggesting that it's tracking in line with expectations. Additionally, our data suggests that revenue is expected to grow faster than the wider industry. The consensus price target held steady at US$34.63, with the latest estimates not enough to have an impact on their price targets.

With that in mind, we wouldn't be too quick to come to a conclusion on UroGen Pharma. Long-term earnings power is much more important than next year's profits. We have forecasts for UroGen Pharma going out to 2027, and you can see them free on our platform here.

Plus, you should also learn about the 2 warning signs we've spotted with UroGen Pharma .

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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.