News Flash: Analysts Just Made A Sizeable Upgrade To Their Novavax, Inc. (NASDAQ:NVAX) Forecasts
Shareholders in Novavax, Inc. (NASDAQ:NVAX) may be thrilled to learn that the analysts have just delivered a major upgrade to their near-term forecasts. The analysts have sharply increased their revenue numbers, with a view that Novavax will make substantially more sales than they'd previously expected.
After the upgrade, the five analysts covering Novavax are now predicting revenues of US$1.4b in 2020. If met, this would reflect a major improvement in sales compared to the last 12 months. Prior to the latest estimates, the analysts were forecasting revenues of US$1.2b in 2020. The consensus has definitely become more optimistic, showing a nice increase in revenue forecasts.
View our latest analysis for Novavax
Of course, another way to look at these forecasts is to place them into context against the industry itself. For example, we noticed that Novavax's rate of growth is expected to accelerate meaningfully, with revenues forecast to grow manyfold, well above its historical decline of 0.7% a year over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in the industry are forecast to see their revenue grow 20% per year. Not only are Novavax's revenues expected to improve, it seems that the analysts are also expecting it to grow faster than the wider industry.
The Bottom Line
The highlight for us was that analysts increased their revenue forecasts for Novavax this year. They're also forecasting more rapid revenue growth than the wider market. Given that analysts appear to be expecting substantial improvement in the sales pipeline, now could be the right time to take another look at Novavax.
Analysts are definitely bullish on Novavax, but no company is perfect. Indeed, you should know that there are several potential concerns to be aware of, including major dilution from new stock issuance in the past year. For more information, you can click through to our platform to learn more about this and the 1 other warning sign we've identified .
Of course, seeing company management invest large sums of money in a stock can be just as useful as knowing whether analysts are upgrading their estimates. So you may also wish to search this free list of stocks that insiders are buying.
This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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