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As you might know, OmniAb, Inc. (NASDAQ:OABI) last week released its latest quarterly, and things did not turn out so great for shareholders. Earnings missed the mark badly, with revenues of US$4.2m falling 50% short of expectations. Losses correspondingly increased, with a US$0.16 per-share statutory loss some 16% larger than what the analysts expected. 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. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.
Check out our latest analysis for OmniAb
Following the latest results, OmniAb's seven analysts are now forecasting revenues of US$46.9m in 2025. This would be a major 130% improvement in revenue compared to the last 12 months. The loss per share is expected to ameliorate slightly, reducing to US$0.48. Before this earnings announcement, the analysts had been modelling revenues of US$53.5m and losses of US$0.41 per share in 2025. There's been a definite change in sentiment in this update, with the analysts administering a notable cut to next year's revenue estimates, while at the same time increasing their loss per share forecasts.
The average price target was broadly unchanged at US$9.75, perhaps implicitly signalling that the weaker earnings outlook is not expected to have a long-term impact on the valuation. The consensus price target is just an average of individual analyst targets, so - it could be handy to see how wide the range of underlying estimates is. There are some variant perceptions on OmniAb, with the most bullish analyst valuing it at US$12.00 and the most bearish at US$8.00 per share. As you can see, analysts are not all in agreement on the stock's future, but the range of estimates is still reasonably narrow, which could suggest that the outcome is not totally unpredictable.
These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the OmniAb's past performance and to peers in the same industry. It's clear from the latest estimates that OmniAb's rate of growth is expected to accelerate meaningfully, with the forecast 95% annualised revenue growth to the end of 2025 noticeably faster than its historical growth of 6.2% p.a. over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 6.5% annually. It seems obvious that, while the growth outlook is brighter than the recent past, the analysts also expect OmniAb to grow faster than the wider industry.