QuickLogic Corporation (NASDAQ:QUIK) Analysts Just Trimmed Their Revenue Forecasts By 31%

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Market forces rained on the parade of QuickLogic Corporation (NASDAQ:QUIK) shareholders today, when the analysts downgraded their forecasts for this year. This report focused on revenue estimates, and it looks as though the consensus view of the business has become substantially more conservative.

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Following the downgrade, the consensus from dual analysts covering QuickLogic is for revenues of US$15m in 2025, implying a definite 19% decline in sales compared to the last 12 months. Before the latest update, the analysts were foreseeing US$22m of revenue in 2025. The consensus view seems to have become more pessimistic on QuickLogic, noting the pretty serious reduction to revenue estimates in this update.

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Notably, the analysts have cut their price target 12% to US$7.98, suggesting concerns around QuickLogic's valuation.

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. These estimates imply that sales are expected to slow, with a forecast annualised revenue decline of 34% by the end of 2025. This indicates a significant reduction from annual growth of 20% over the last five years. By contrast, our data suggests that other companies (with analyst coverage) in the same industry are forecast to see their revenue grow 17% annually for the foreseeable future. It's pretty clear that QuickLogic's revenues are expected to perform substantially worse than the wider industry.

The Bottom Line

The clear low-light was that analysts slashing their revenue forecasts for QuickLogic this year. They're also anticipating slower revenue growth than the wider market. The consensus price target fell measurably, with analysts seemingly not reassured by recent business developments, leading to a lower estimate of QuickLogic's future valuation. Overall, given the drastic downgrade to this year's forecasts, we'd be feeling a little more wary of QuickLogic going forwards.

Hungry for more information? At least one of QuickLogic's dual analysts has provided estimates out to 2026, which can be seen for free on our platform here.

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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.