In This Article:
Transgene SA’s (ENXTPA:TNG) most recent earnings update in December 2017 showed company earnings became less negative compared to the previous year’s level as a result of recent tailwinds Below, I’ve presented key growth figures on how market analysts perceive Transgene’s earnings growth trajectory over the next few years and whether the future looks brighter. Note that I will be looking at net income excluding extraordinary items to get a better understanding of the underlying drivers of earnings. View our latest analysis for Transgene
Analysts’ expectations for this coming year seems relatively muted, with earnings continuing to flop around in the negative territory, generating -€30.43M in 2019. However, earnings are expected to move into an upward direction, reaching -€23.34M in 2020, before plateauing down to -€52.19M in 2021.
While it is informative knowing the growth rate year by year relative to today’s level, it may be more valuable determining the rate at which the company is growing on average every year. The advantage of this approach is that it ignores near term flucuations and accounts for the overarching direction of Transgene’s earnings trajectory over time, be more volatile. To calculate this rate, I’ve appended a line of best fit through the forecasted earnings by market analysts. The slope of this line is the rate of earnings growth, which in this case is -1.33%. This means that, we can presume Transgene will chip away at a rate of -1.33% every year for the next few years.
Next Steps:
For Transgene, I’ve put together three pertinent factors you should further research:
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Financial Health: Does it have a healthy balance sheet? Take a look at our free balance sheet analysis with six simple checks on key factors like leverage and risk.
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Future Earnings: How does TNG’s growth rate compare to its peers and the wider market? Dig deeper into the analyst consensus number for the upcoming years by interacting with our free analyst growth expectation chart.
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Other High-Growth Alternatives: Are there other high-growth stocks you could be holding instead of TNG? Explore our interactive list of stocks with large growth potential to get an idea of what else is out there you may be missing!
To help readers see pass the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price sensitive company announcements.
The author is an independent contributor and at the time of publication had no position in the stocks mentioned.