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As you might know, IRADIMED CORPORATION (NASDAQ:IRMD) recently reported its quarterly numbers. IRADIMED reported in line with analyst predictions, delivering revenues of US$20m and statutory earnings per share of US$0.37, suggesting the business is executing well and in line with its plan. The analysts typically update their forecasts at each earnings report, and we can judge from their estimates whether their view of the company has changed or if there are any new concerns to be aware of. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year.
Following the latest results, IRADIMED's dual analysts are now forecasting revenues of US$79.4m in 2025. This would be an okay 5.7% improvement in revenue compared to the last 12 months. Per-share earnings are expected to accumulate 2.2% to US$1.59. Before this earnings report, the analysts had been forecasting revenues of US$79.4m and earnings per share (EPS) of US$1.61 in 2025. So it's pretty clear that, although the analysts have updated their estimates, there's been no major change in expectations for the business following the latest results.
See our latest analysis for IRADIMED
The consensus price target rose 9.2% to US$71.00despite there being no meaningful change to earnings estimates. It could be that the analystsare reflecting the predictability of IRADIMED's earnings by assigning a price premium.
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. It's pretty clear that there is an expectation that IRADIMED's revenue growth will slow down substantially, with revenues to the end of 2025 expected to display 7.7% growth on an annualised basis. This is compared to a historical growth rate of 18% over the past five years. Compare this to the 236 other companies in this industry with analyst coverage, which are forecast to grow their revenue at 8.1% per year. Factoring in the forecast slowdown in growth, it looks like IRADIMED is forecast to grow at about the same rate as the wider industry.
The Bottom Line
The most obvious conclusion is that there's been no major change in the business' prospects in recent times, with the analysts holding their earnings forecasts steady, in line with previous estimates. They also reconfirmed their revenue estimates, with the company predicted to grow at about the same rate as the wider industry. We note an upgrade to the price target, suggesting that the analysts believes the intrinsic value of the business is likely to improve over time.