Marinus Pharmaceuticals, Inc. (NASDAQ:MRNS) shareholders will have a reason to smile today, with the analysts making substantial upgrades to next year's statutory forecasts. The analysts have sharply increased their revenue numbers, with a view that Marinus Pharmaceuticals will make substantially more sales than they'd previously expected. The market may be pricing in some blue sky too, with the share price gaining 12% to US$14.97 in the last 7 days. It will be interesting to see if today's upgrade is enough to propel the stock even higher.

Following the upgrade, the current forecast from Marinus Pharmaceuticals' ten analysts is for revenues of US$8.1m in 2021, which would reflect a substantial improvement in sales compared to the last 12 months. Losses are predicted to fall substantially, shrinking 35% to US$2.10. Yet before this consensus update, the analysts had been forecasting revenues of US$4.7m and losses of US$2.12 per share in 2021. So there's been quite a change-up of views after the recent consensus updates, withthe analysts noticeably increasing their revenue forecasts while also expecting losses per share to hold steady.

View our latest analysis for Marinus Pharmaceuticals

The consensus price target held steady at US$28.78 despite the upgrade to revenue forecasts and ongoing losses. Analysts seem to think the business is otherwise performing roughly in line with expectations. There's another way to think about price targets though, and that's to look at the range of price targets put forward by analysts, because a wide range of estimates could suggest a diverse view on possible outcomes for the business. Currently, the most bullish analyst values Marinus Pharmaceuticals at US$35.00 per share, while the most bearish prices it at US$20.00. These price targets show that analysts do have some differing views on the business, but the estimates do not vary enough to suggest to us that some are betting on wild success or utter failure.

The Bottom Line

The most important thing here is that analysts reduced their loss per share estimates for next year, reflecting increased optimism around Marinus Pharmaceuticals' prospects. Given that analysts appear to be expecting substantial improvement in the sales pipeline, now could be the right time to take another look at Marinus Pharmaceuticals.

Analysts are clearly in love with Marinus Pharmaceuticals at the moment, but before diving in - you should be aware that we've identified some warning flags with the business, such as 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 2 other concerns we've identified .

Another way to search for interesting companies that could be reaching an inflection point is to track whether management are buying or selling, with our free list of growing companies 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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