Analysts Are Betting On Novavax, Inc. (NASDAQ:NVAX) With A Big Upgrade This Week – Yahoo Finance

Celebrations may be in order for Novavax, Inc. (NASDAQ:NVAX) shareholders, with the analysts delivering a significant upgrade to their statutory estimates for the company. The analysts have sharply increased their revenue numbers, with a view that Novavax will make substantially more sales than they'd previously expected.

Following the upgrade, the current consensus from Novavax's four analysts is for revenues of US$5.0b in 2021 which - if met - would reflect a huge increase on its sales over the past 12 months. Prior to the latest estimates, the analysts were forecasting revenues of US$4.2b in 2021. The consensus has definitely become more optimistic, showing a nice increase in revenue forecasts.

View our latest analysis for Novavax

earnings-and-revenue-growth

Another way we can view these estimates is in the context of the bigger picture, such as how the forecasts stack up against past performance, and whether forecasts are more or less bullish relative to other companies in the industry. It's clear from the latest estimates that Novavax's rate of growth is expected to accelerate meaningfully, with the forecast 9x annualised revenue growth to the end of 2021 noticeably faster than its historical growth of 57% p.a. over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 18% annually. Factoring in the forecast acceleration in revenue, it's pretty clear that Novavax is expected to grow much faster than its industry.

The most important thing to take away from this upgrade is that analysts lifted their revenue estimates for this year. The analysts also expect revenues to grow faster than the wider market. Seeing the dramatic upgrade to this year's forecasts, it might be time to take another look at Novavax.

These earnings upgrades look like a sterling endorsement, but before diving in - you should know that we've spotted 2 potential risk with Novavax, 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 risk 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.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

See original here:

Analysts Are Betting On Novavax, Inc. (NASDAQ:NVAX) With A Big Upgrade This Week - Yahoo Finance