Blade Air Mobility, Inc. (NASDAQ:BLDE) Annual Results: Here's What Analysts Are Forecasting For This Year

Shareholders in Blade Air Mobility, Inc. (NASDAQ:BLDE) had a terrible week, as shares crashed 32% to US$2.62 in the week since its latest yearly results. It was an okay report, and revenues came in at US$225m, approximately in line with analyst estimates leading up to the results announcement. 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.

Check out our latest analysis for Blade Air Mobility

Taking into account the latest results, the most recent consensus for Blade Air Mobility from five analysts is for revenues of US$248.0m in 2024. If met, it would imply a notable 10% increase on its revenue over the past 12 months. The loss per share is expected to greatly reduce in the near future, narrowing 62% to US$0.28. Before this earnings announcement, the analysts had been modelling revenues of US$257.1m and losses of US$0.41 per share in 2024. Although the revenue estimates have fallen somewhat, Blade Air Mobility'sfuture looks a little different to the past, with a considerable decrease in the loss per share forecasts in particular.

The consensus price target was broadly unchanged at US$7.50, implying that the business is performing roughly in line with expectations, despite adjustments to both revenue and earnings estimates. Fixating on a single price target can be unwise though, since the consensus target is effectively the average of analyst price targets. As a result, some investors like to look at the range of estimates to see if there are any diverging opinions on the company's valuation. The most optimistic Blade Air Mobility analyst has a price target of US$13.50 per share, while the most pessimistic values it at US$5.00. With such a wide range in price targets, analysts are almost certainly betting on widely divergent outcomes in the underlying business. As a result it might not be a great idea to make decisions based on the consensus price target, which is after all just an average of this wide range of estimates.

Looking at the bigger picture now, one of the ways we can make sense of these forecasts is to see how they measure up against both past performance and industry growth estimates. It's pretty clear that there is an expectation that Blade Air Mobility's revenue growth will slow down substantially, with revenues to the end of 2024 expected to display 10% growth on an annualised basis. This is compared to a historical growth rate of 64% over the past three years. Juxtapose this against the other companies in the industry with analyst coverage, which are forecast to grow their revenues (in aggregate) 7.0% per year. So it's pretty clear that, while Blade Air Mobility's revenue growth is expected to slow, it's still expected to grow faster than the industry itself.

The Bottom Line

The most important thing to take away is that the analysts reconfirmed their loss per share estimates for next year. They also downgraded Blade Air Mobility's revenue estimates, but industry data suggests that it is expected to grow faster than the wider industry. Even so, earnings per share are more important to the intrinsic value of the business. 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 Blade Air Mobility going out to 2026, and you can see them free on our platform here.

We don't want to rain on the parade too much, but we did also find 4 warning signs for Blade Air Mobility that you need to be mindful of.

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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.