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It's been a good week for Blueprint Medicines Corporation (NASDAQ:BPMC) shareholders, because the company has just released its latest third-quarter results, and the shares gained 10.0% to US$90.70. The results look positive overall; while revenues of US$128m were in line with analyst predictions, statutory losses were 8.4% smaller than expected, with Blueprint Medicines losing US$0.89 per share. 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. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year.
See our latest analysis for Blueprint Medicines
Following the latest results, Blueprint Medicines' 16 analysts are now forecasting revenues of US$715.6m in 2025. This would be a substantial 65% improvement in revenue compared to the last 12 months. Losses are expected to be contained, narrowing 16% from last year to US$1.69. Before this latest report, the consensus had been expecting revenues of US$695.4m and US$1.35 per share in losses. So it's pretty clear the analysts have mixed opinions on Blueprint Medicines even after this update; although they upped their revenue numbers, it came at the cost of a sizeable expansion in per-share losses.
The consensus price target stayed unchanged at US$125, seeming to suggest that higher forecast losses are not expected to have a long term impact on the valuation. There's another way to think about price targets though, and that's to look at the range of price targets put forward by analysts, because a wide range of estimates could suggest a diverse view on possible outcomes for the business. Currently, the most bullish analyst values Blueprint Medicines at US$167 per share, while the most bearish prices it at US$81.00. Note the wide gap in analyst price targets? This implies to us that there is a fairly broad range of possible scenarios for the underlying business.
These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Blueprint Medicines' past performance and to peers in the same industry. One thing stands out from these estimates, which is that Blueprint Medicines is forecast to grow faster in the future than it has in the past, with revenues expected to display 49% annualised growth until the end of 2025. If achieved, this would be a much better result than the 0.9% annual decline over the past five years. Compare this against analyst estimates for the broader industry, which suggest that (in aggregate) industry revenues are expected to grow 21% annually. So it looks like Blueprint Medicines is expected to grow faster than its competitors, at least for a while.