The analysts might have been a bit too bullish on Gold.com, Inc. (NYSE:GOLD), given that the company fell short of expectations when it released its first-quarter results last week. Gold.com delivered a grave earnings miss, with both revenues (US$3.3b) and statutory earnings per share (US$0.05) falling badly short of analyst expectations. 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. So we gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.
Following the recent earnings report, the consensus from four analysts covering Gold.com is for revenues of US$21.5b in 2027. This implies a not inconsiderable 14% decline in revenue compared to the last 12 months. Statutory per-share earnings are expected to be US$2.90, roughly flat on the last 12 months. Before this earnings report, the analysts had been forecasting revenues of US$21.5b and earnings per share (EPS) of US$2.74 in 2027. So the consensus seems to have become somewhat more optimistic on Gold.com's earnings potential following these results.
See our latest analysis for Gold.com
The consensus price target was unchanged at US$64.40, implying that the improved earnings outlook is not expected to have a long term impact on value creation for shareholders. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. The most optimistic Gold.com analyst has a price target of US$90.00 per share, while the most pessimistic values it at US$52.00. 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 Gold.com's past performance and to peers in the same industry. These estimates imply that revenue is expected to slow, with a forecast annualised decline of 19% by the end of 2027. This indicates a significant reduction from annual growth of 24% over the last five years. By contrast, our data suggests that other companies (with analyst coverage) in the same industry are forecast to see their revenue grow 3.2% annually for the foreseeable future. It's pretty clear that Gold.com's revenues are expected to perform substantially worse than the wider industry.
The Bottom Line
The biggest takeaway for us is the consensus earnings per share upgrade, which suggests a clear improvement in sentiment around Gold.com's earnings potential next year. On the plus side, there were no major changes to revenue estimates; although forecasts imply they will perform worse than the wider industry. The consensus price target held steady at US$64.40, with the latest estimates not enough to have an impact on their price targets.
Following on from that line of thought, we think that the long-term prospects of the business are much more relevant than next year's earnings. We have forecasts for Gold.com going out to 2029, and you can see them free on our platform here.
And what about risks? Every company has them, and we've spotted 4 warning signs for Gold.com you should know about.
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