Sarcos Technology and Robotics Corporation (NASDAQ:STRC) missed earnings with its latest quarterly results, disappointing overly-optimistic forecasters. It looks to have been a weak result overall, as sales of US$2.3m were 28% less than the analysts expected. Unsurprisingly, losses were also somewhat larger than was modelled, at US$0.14 per share. 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.
Check out our latest analysis for Sarcos Technology and Robotics
Taking into account the latest results, the current consensus from Sarcos Technology and Robotics' three analysts is for revenues of US$23.4m in 2023, which would reflect a sizeable 45% increase on its sales over the past 12 months. The loss per share is expected to greatly reduce in the near future, narrowing 55% to US$0.47. Before this earnings announcement, the analysts had been modelling revenues of US$26.7m and losses of US$0.48 per share in 2023. So there's been quite a change-up of views after the recent consensus updates, withthe analysts making a serious cut to their revenue forecasts while also reducing the estimated losses the business will incur.
The consensus price target fell 20% to US$2.75, with the dip in revenue estimates clearly souring sentiment, despite the forecast reduction in losses. 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 Sarcos Technology and Robotics at US$4.25 per share, while the most bearish prices it at US$2.00. This is a fairly broad spread of estimates, suggesting that analysts are forecasting a wide range of possible outcomes for the business.
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. We would highlight that Sarcos Technology and Robotics' revenue growth is expected to slow, with the forecast 64% annualised growth rate until the end of 2023 being well below the historical 301% growth over the last year. By way of comparison, the other companies in this industry with analyst coverage are forecast to grow their revenue at 4.9% annually. Even after the forecast slowdown in growth, it seems obvious that Sarcos Technology and Robotics is also expected to grow faster than the wider industry.