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Shareholders might have noticed that Tigo Energy, Inc. (NASDAQ:TYGO) filed its quarterly result this time last week. The early response was not positive, with shares down 7.7% to US$1.08 in the past week. Revenues of US$14m beat expectations by a respectable 2.5%, although statutory losses per share increased. Tigo Energy lost US$0.22, which was 26% more than what the analysts had included in their models. 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. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.
See our latest analysis for Tigo Energy
Following the latest results, Tigo Energy's four analysts are now forecasting revenues of US$98.0m in 2025. This would be a substantial 113% improvement in revenue compared to the last 12 months. The loss per share is expected to greatly reduce in the near future, narrowing 33% to US$0.55. Before this latest report, the consensus had been expecting revenues of US$104.5m and US$0.52 per share in losses. Overall it looks as though the analysts are negative in this update. Although revenue forecasts held steady, the consensus also made a moderate increase in to its losses per share forecasts.
The average price target fell 7.2% to US$3.67, implicitly signalling that lower earnings per share are a leading indicator for Tigo Energy's valuation. That's not the only conclusion we can draw from this data however, as some investors also like to consider the spread in estimates when evaluating analyst price targets. The most optimistic Tigo Energy analyst has a price target of US$4.50 per share, while the most pessimistic values it at US$3.00. These price targets show that analysts do have some differing views on the business, but the estimates do not vary enough to suggest to us that some are betting on wild success or utter failure.
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 Tigo Energy's rate of growth is expected to accelerate meaningfully, with the forecast 83% annualised revenue growth to the end of 2025 noticeably faster than its historical growth of 7.0% p.a. over the past three years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 8.6% per year. Factoring in the forecast acceleration in revenue, it's pretty clear that Tigo Energy is expected to grow much faster than its industry.