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Shareholders of PSQ Holdings, Inc. (NYSE:PSQH) will be pleased this week, given that the stock price is up 14% to US$2.09 following its latest first-quarter results. It looks like the results were pretty good overall. While revenues of US$6.7m were in line with analyst predictions, statutory losses were much smaller than expected, with PSQ Holdings losing US$0.10 per share. Following the result, the analysts have updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. So we gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.
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Following the latest results, PSQ Holdings' two analysts are now forecasting revenues of US$42.1m in 2025. This would be a sizeable 59% improvement in revenue compared to the last 12 months. The loss per share is expected to greatly reduce in the near future, narrowing 22% to US$0.90. Before this earnings announcement, the analysts had been modelling revenues of US$42.2m and losses of US$1.05 per share in 2025. Although the revenue estimates have not really changed PSQ Holdings'future looks a little different to the past, with a notable improvement in the loss per share forecasts in particular.
Check out our latest analysis for PSQ Holdings
The consensus price target fell 7.7% to US$6.00despite the forecast for smaller losses next year. It looks like the ongoing lack of profitability is starting to weigh on valuations.
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. We would highlight that PSQ Holdings' revenue growth is expected to slow, with the forecast 86% annualised growth rate until the end of 2025 being well below the historical 202% growth over the last year. Juxtapose this against the other companies in the industry with analyst coverage, which are forecast to grow their revenues (in aggregate) 10% per year. So it's pretty clear that, while PSQ Holdings' revenue growth is expected to slow, it's still expected to grow faster than the industry itself.
The Bottom Line
The most obvious conclusion is that the analysts made no changes to their forecasts for a loss next year. Fortunately, they also reconfirmed their revenue numbers, suggesting that it's tracking in line with expectations. Additionally, our data suggests that revenue is expected to grow faster than the wider industry. Furthermore, the analysts also cut their price targets, suggesting that the latest news has led to greater pessimism about the intrinsic value of the business.