This Just In: Analysts Are Boosting Their Vascular Biogenics Ltd. (NASDAQ:VBLT) Outlook for This Year

Shareholders in Vascular Biogenics Ltd. (NASDAQ:VBLT) may be thrilled to learn that the analysts have just delivered a major upgrade to their near-term forecasts. The consensus statutory numbers for both revenue and earnings per share (EPS) increased, with their view clearly much more bullish on the company's business prospects.

Following the upgrade, the most recent consensus for Vascular Biogenics from its four analysts is for revenues of US$777k in 2020 which, if met, would be a major 38% increase on its sales over the past 12 months. Per-share losses are expected to creep up to US$0.56. However, before this estimates update, the consensus had been expecting revenues of US$655k and US$0.68 per share in losses. So there's been quite a change-up of views after the recent consensus updates, with the analysts making a sizeable increase to their revenue forecasts while also reducing the estimated loss as the business grows towards breakeven.

See our latest analysis for Vascular Biogenics

Of course, another way to look at these forecasts is to place them into context against the industry itself. One thing stands out from these estimates, which is that Vascular Biogenics is forecast to grow faster in the future than it has in the past, with revenues expected to grow 38%. If achieved, this would be a much better result than the 3.9% annual decline over the past year. Compare this against analyst estimates for the wider industry, which suggest that (in aggregate) industry revenues are expected to grow 24% next year. Not only are Vascular Biogenics' 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 the consensus reduced its estimated losses this year, perhaps suggesting Vascular Biogenics is moving incrementally towards profitability. They also upgraded their revenue estimates for this year, and sales are expected to grow faster than the wider market. With a serious upgrade to expectations, it might be time to take another look at Vascular Biogenics.

These earnings upgrades look like a sterling endorsement, but before diving in - you should know that we've spotted 5 potential risks with Vascular Biogenics, including dilutive stock issuance over the past year. You can learn more, and discover the 4 other risks we've identified, for free on our platform here.

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.

If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. 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. Simply Wall St has no position in the stocks mentioned.

We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Thank you for reading.