Qiagen N.V. Just Recorded A 6.9% EPS Beat: Here's What Analysts Are Forecasting Next

It's been a good week for Qiagen N.V. (NYSE:QGEN) shareholders, because the company has just released its latest quarterly results, and the shares gained 3.9% to US$42.68. The result was positive overall - although revenues of US$459m were in line with what the analysts predicted, Qiagen surprised by delivering a statutory profit of US$0.36 per share, modestly greater than expected. 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 collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.

See our latest analysis for Qiagen

Taking into account the latest results, the consensus forecast from Qiagen's 20 analysts is for revenues of US$2.01b in 2024. This reflects a satisfactory 3.6% improvement in revenue compared to the last 12 months. Per-share earnings are expected to shoot up 20% to US$1.82. Before this earnings report, the analysts had been forecasting revenues of US$2.01b and earnings per share (EPS) of US$1.77 in 2024. So the consensus seems to have become somewhat more optimistic on Qiagen's earnings potential following these results.

The consensus price target was unchanged at US$50.19, implying that the improved earnings outlook is not expected to have a long term impact on value creation for shareholders. There's another way to think about price targets though, and that's to look at the range of price targets put forward by analysts, because a wide range of estimates could suggest a diverse view on possible outcomes for the business. The most optimistic Qiagen analyst has a price target of US$60.00 per share, while the most pessimistic values it at US$42.50. This shows there is still a bit of diversity in estimates, but analysts don't appear to be totally split on the stock as though it might be a success or failure situation.

Another way we can view these estimates is in the context of the bigger picture, such as how the forecasts stack up against past performance, and whether forecasts are more or less bullish relative to other companies in the industry. It's pretty clear that there is an expectation that Qiagen's revenue growth will slow down substantially, with revenues to the end of 2024 expected to display 4.8% growth on an annualised basis. This is compared to a historical growth rate of 6.6% over the past five years. Compare this against other companies (with analyst forecasts) in the industry, which are in aggregate expected to see revenue growth of 6.5% annually. So it's pretty clear that, while revenue growth is expected to slow down, the wider industry is also expected to grow faster than Qiagen.

The Bottom Line

The most important thing here is that the analysts upgraded their earnings per share estimates, suggesting that there has been a clear increase in optimism towards Qiagen following these results. On the plus side, there were no major changes to revenue estimates; although forecasts imply they will perform worse than the wider industry. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have forecasts for Qiagen going out to 2026, and you can see them free on our platform here.

And what about risks? Every company has them, and we've spotted 1 warning sign for Qiagen you should know about.

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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.