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Intellia Therapeutics, Inc. (NASDAQ:NTLA) shareholders will have a reason to smile today, with the analysts making substantial upgrades to this year's statutory forecasts. The analysts have sharply increased their revenue numbers, with a view that Intellia Therapeutics will make substantially more sales than they'd previously expected.
After the upgrade, the 23 analysts covering Intellia Therapeutics are now predicting revenues of US$50m in 2025. If met, this would reflect a solid 9.8% improvement in sales compared to the last 12 months. Losses are expected to be contained, narrowing 14% per share from last year to US$4.35 per share. Yet prior to the latest estimates, the analysts had been forecasting revenues of US$49m and losses of US$4.71 per share in 2025. It looks like there's been a modest increase in sentiment in the recent updates, with the analysts becoming a bit more optimistic in their predictions for losses per share, even though the revenue numbers were unchanged.
View our latest analysis for Intellia Therapeutics
The consensus price target held steady at US$40.56, seeming to indicate that business is performing in line with expectations.
Of course, another way to look at these forecasts is to place them into context against the industry itself. It's clear from the latest estimates that Intellia Therapeutics' rate of growth is expected to accelerate meaningfully, with the forecast 13% annualised revenue growth to the end of 2025 noticeably faster than its historical growth of 0.03% p.a. over the past five years. Compare this with other companies in the same industry, which are forecast to see revenue growth of 18% annually. It seems obvious that, while the future growth outlook is brighter than the recent past, Intellia Therapeutics is expected to grow slower than the wider industry.
The Bottom Line
The highlight for us was that the consensus reduced its estimated losses this year, perhaps suggesting Intellia Therapeutics is moving incrementally towards profitability. There were no major changes to revenue forecasts, with analysts still expecting the business to grow slower than the wider market. Seeing the dramatic upgrade to this year's forecasts, it might be time to take another look at Intellia Therapeutics.
Even so, the longer term trajectory of the business is much more important for the value creation of shareholders. At Simply Wall St, we have a full range of analyst estimates for Intellia Therapeutics going out to 2027, and you can see them free on our platform here..