OraSure Technologies, Inc. (NASDAQ:OSUR) shareholders are probably feeling a little disappointed, since its shares fell 4.3% to US$3.56 in the week after its latest third-quarter results. The results look positive overall; while revenues of US$31m were in line with analyst predictions, statutory losses were 7.3% smaller than expected, with OraSure Technologies losing US$0.19 per share. 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. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.
After the latest results, the twin analysts covering OraSure Technologies are now predicting revenues of US$131.2m in 2027. If met, this would reflect a decent 13% improvement in revenue compared to the last 12 months. The loss per share is expected to greatly reduce in the near future, narrowing 36% to US$0.45. Yet prior to the latest earnings, the analysts had been forecasting revenues of US$130.6m and losses of US$0.81 per share in 2027. Although the revenue estimates have not really changed OraSure Technologies'future looks a little different to the past, with a considerable decrease in the loss per share forecasts in particular.
View our latest analysis for OraSure Technologies
The average price target rose 16% to US$5.50, with the analysts signalling that the forecast reduction in losses would be a positive for the stock's valuation.
Of course, another way to look at these forecasts is to place them into context against the industry itself. For example, we noticed that OraSure Technologies' rate of growth is expected to accelerate meaningfully, with revenues forecast to exhibit 10% growth to the end of 2027 on an annualised basis. That is well above its historical decline of 19% a year over the past five years. Compare this against analyst estimates for the broader industry, which suggest that (in aggregate) industry revenues are expected to grow 7.5% annually. Not only are OraSure Technologies' revenues expected to improve, it seems that the analysts are also expecting it to grow faster than the wider industry.
The Bottom Line
The most important thing to take away is that the analysts reconfirmed their loss per share estimates for next year. Happily, there were no major changes to revenue forecasts, with the business still expected to grow faster than the wider industry. There was also a nice increase in the price target, with the analysts clearly feeling that the intrinsic value of the business is improving.
With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have analyst estimates for OraSure Technologies going out as far as 2028, and you can see them free on our platform here.
Plus, you should also learn about the 1 warning sign we've spotted with OraSure Technologies .
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