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One of the biggest stories of last week was how Exro Technologies Inc. (TSE:EXRO) shares plunged 28% in the week since its latest third-quarter results, closing yesterday at CA$0.18. Exro Technologies beat revenue forecasts by a solid 14%, hitting CA$11m. Statutory losses also blew out, with the loss per share reaching CA$0.43, some 706% bigger than the analysts expected. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. 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 Exro Technologies
Taking into account the latest results, the current consensus from Exro Technologies' five analysts is for revenues of CA$112.9m in 2025. This would reflect a sizeable 411% increase on its revenue over the past 12 months. Losses are predicted to fall substantially, shrinking 78% to CA$0.13. Before this latest report, the consensus had been expecting revenues of CA$158.1m and CA$0.098 per share in losses. So there's been quite a change-up of views after the recent consensus updates, withthe analysts making a serious cut to their revenue outlook while also expecting losses per share to increase.
The consensus price target fell 21% to CA$0.46, with the analysts clearly concerned about the company following the weaker revenue and earnings outlook. 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. There are some variant perceptions on Exro Technologies, with the most bullish analyst valuing it at CA$0.60 and the most bearish at CA$0.20 per share. This is a fairly broad spread of estimates, suggesting that analysts are forecasting a wide range of possible outcomes for the business.
Looking at the bigger picture now, one of the ways we can make sense of these forecasts is to see how they measure up against both past performance and industry growth estimates. The analysts are definitely expecting Exro Technologies' growth to accelerate, with the forecast 269% annualised growth to the end of 2025 ranking favourably alongside historical growth of 90% per annum over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 19% annually. Factoring in the forecast acceleration in revenue, it's pretty clear that Exro Technologies is expected to grow much faster than its industry.