News Flash: One Analyst Just Made A Meaningful Upgrade To Their Pyxis Tankers Inc. (NASDAQ:PXS) Forecasts

Pyxis Tankers Inc. (NASDAQ:PXS) shareholders will have a reason to smile today, with the covering analyst making substantial upgrades to this year's statutory forecasts. The consensus estimated revenue numbers rose, with their view now clearly much more bullish on the company's business prospects. The stock price has risen 9.0% to US$5.19 over the past week, suggesting investors are becoming more optimistic. It will be interesting to see if this latest upgrade is enough to kickstart further buying interest in the stock.

After the upgrade, the lone analyst covering Pyxis Tankers is now predicting revenues of US$56m in 2024. If met, this would reflect a meaningful 13% improvement in sales compared to the last 12 months. Statutory earnings per share are supposed to plummet 49% to US$1.63 in the same period. Prior to this update, the analyst had been forecasting revenues of US$50m and earnings per share (EPS) of US$1.57 in 2024. The forecasts seem more optimistic now, with a substantial gain in revenue and a small increase to earnings per share estimates.

Check out our latest analysis for Pyxis Tankers

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. It's clear from the latest estimates that Pyxis Tankers' rate of growth is expected to accelerate meaningfully, with the forecast 27% annualised revenue growth to the end of 2024 noticeably faster than its historical growth of 19% p.a. over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in the same industry are forecast to see their revenue shrink 0.4% per year. So it's clear with the acceleration in growth, Pyxis Tankers is expected to grow meaningfully faster than the wider industry.

The Bottom Line

The biggest takeaway for us from these new estimates is that the analyst upgraded their earnings per share estimates, with improved earnings power expected for this year. On the plus side, they also lifted their revenue estimates, and the company is expected to perform better than the wider market. Seeing the dramatic upgrade to this year's forecasts, it might be time to take another look at Pyxis Tankers.

The covering analyst is definitely bullish on Pyxis Tankers, but no company is perfect. Indeed, you should know that there are several potential concerns to be aware of, including concerns around earnings quality. You can learn more, and discover the 2 other flags we've identified, for free on our platform here.

Another thing to consider is whether management and directors have been buying or selling stock recently. We provide an overview of all open market stock trades for the last twelve months 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.