Bionano Genomics, Inc. (NASDAQ:BNGO) First-Quarter Results: Here's What Analysts Are Forecasting For This Year

Bionano Genomics, Inc. (NASDAQ:BNGO) defied analyst predictions to release its first-quarter results, which were ahead of market expectations. Results overall were credible, with revenues arriving 6.6% better than analyst forecasts at US$3.2m. Higher revenues also resulted in lower statutory losses, which were US$0.04 per share, some 6.6% smaller than the analysts expected. 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.

View our latest analysis for Bionano Genomics

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After the latest results, the three analysts covering Bionano Genomics are now predicting revenues of US$16.4m in 2021. If met, this would reflect a sizeable 56% improvement in sales compared to the last 12 months. The loss per share is expected to greatly reduce in the near future, narrowing 27% to US$0.18. Before this earnings announcement, the analysts had been modelling revenues of US$16.3m and losses of US$0.19 per share in 2021. So there seems to have been a moderate uplift in analyst sentiment with the latest consensus release, given the upgrade to loss per share forecasts for this year.

The average price target held steady at US$13.33, seeming to indicate that business is performing in line with expectations. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. There are some variant perceptions on Bionano Genomics, with the most bullish analyst valuing it at US$14.00 and the most bearish at US$12.00 per share. Still, with such a tight range of estimates, it suggeststhe analysts have a pretty good idea of what they think the company is worth.

One way to get more context on these forecasts is to look at how they compare to both past performance, and how other companies in the same industry are performing. For example, we noticed that Bionano Genomics' rate of growth is expected to accelerate meaningfully, with revenues forecast to exhibit 81% growth to the end of 2021 on an annualised basis. That is well above its historical decline of 7.9% a year over the past three years. Compare this against analyst estimates for the broader industry, which suggest that (in aggregate) industry revenues are expected to grow 7.8% annually. So it looks like Bionano Genomics is expected to grow faster than its competitors, at least for a while.

The Bottom Line

The most obvious conclusion is that the analysts made no changes to their forecasts for a loss next year. Happily, there were no major changes to revenue forecasts, with the business still expected to grow faster than the wider industry. The consensus price target held steady at US$13.33, 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 estimates - from multiple Bionano Genomics analysts - going out to 2025, and you can see them free on our platform here.

Before you take the next step you should know about the 3 warning signs for Bionano Genomics (1 is concerning!) that we have uncovered.

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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