US$3.91: That's What Analysts Think Offerpad Solutions Inc. (NYSE:OPAD) Is Worth After Its Latest Results
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Shareholders of Offerpad Solutions Inc. (NYSE:OPAD) will be pleased this week, given that the stock price is up 17% to US$3.52 following its latest quarterly results. The statutory results were not great - while revenues of US$208m were in line with expectations,Offerpad Solutions lost US$0.49 a share in the process. 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. 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 Offerpad Solutions
Taking into account the latest results, the current consensus from Offerpad Solutions' five analysts is for revenues of US$1.26b in 2025. This would reflect a sizeable 28% increase on its revenue over the past 12 months. The loss per share is expected to greatly reduce in the near future, narrowing 48% to US$1.14. Yet prior to the latest earnings, the analysts had been forecasting revenues of US$1.24b and losses of US$1.15 per share in 2025.
The analysts trimmed their valuations, with the average price target falling 12% to US$3.91, with the ongoing losses seemingly weighing on sentiment, despite no real changes to the earnings forecasts. 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 Offerpad Solutions, with the most bullish analyst valuing it at US$5.00 and the most bearish at US$3.00 per share. There are definitely some different views on the stock, but the range of estimates is not wide enough as to imply that the situation is unforecastable, in our view.
These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Offerpad Solutions' past performance and to peers in the same industry. It's clear from the latest estimates that Offerpad Solutions' rate of growth is expected to accelerate meaningfully, with the forecast 22% annualised revenue growth to the end of 2025 noticeably faster than its historical growth of 2.2% p.a. over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 11% per year. Factoring in the forecast acceleration in revenue, it's pretty clear that Offerpad Solutions is expected to grow much faster than its industry.