The latest analyst coverage could presage a bad day for IQM Quantum Computers Oyj (HEL:IQMX), with the analysts making across-the-board cuts to their statutory estimates that might leave shareholders a little shell-shocked. This report focused on revenue estimates, and it looks as though the consensus view of the business has become substantially more conservative.
Following the downgrade, the most recent consensus for IQM Quantum Computers Oyj from its four analysts is for revenues of €71m in 2027 which, if met, would be a sizeable 90% increase on its sales over the past 12 months. The loss per share is anticipated to greatly reduce in the near future, narrowing 63% to €0.46. Yet before this consensus update, the analysts had been forecasting revenues of €81m and losses of €0.43 per share in 2027. So there’s been quite a change-up of views after the recent consensus updates, with the analysts making a serious cut to their revenue forecasts while also expecting losses per share to increase.
Check out our latest analysis for IQM Quantum Computers Oyj
The consensus price target fell 8.0% to €14.27, with the analysts clearly concerned about the company following the weaker revenue and earnings outlook.
These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the IQM Quantum Computers Oyj’s past performance and to peers in the same industry. The analysts are definitely expecting IQM Quantum Computers Oyj’s growth to accelerate, with the forecast 67% annualised growth to the end of 2027 ranking favourably alongside historical growth of 35% per annum over the past year. Compare this with other companies in the same industry, which are forecast to grow their revenue 11% annually. It seems obvious that, while the growth outlook is brighter than the recent past, the analysts also expect IQM Quantum Computers Oyj to grow faster than the wider industry.
The Bottom Line
The most important thing to take away is that analysts increased their loss per share estimates for next year. Unfortunately, analysts also downgraded their revenue estimates, although our data indicates revenues are expected to perform better than the wider market. The consensus price target fell measurably, with analysts seemingly not reassured by recent business developments, leading to a lower estimate of IQM Quantum Computers Oyj’s future valuation. Often, one downgrade can set off a daisy-chain of cuts, especially if an industry is in decline. So we wouldn’t be surprised if the market became a lot more cautious on IQM Quantum Computers Oyj after today.
With that said, the long-term trajectory of the company’s earnings is a lot more important than next year. We have estimates – from multiple IQM Quantum Computers Oyj analysts – going out to 2028, and you can see them free on our platform here.
Of course, seeing company management invest large sums of money in a stock can be just as useful as knowing whether analysts are downgrading their estimates. So you may also wish to search this free list of stocks with high insider ownership.
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