The latest analyst coverage could presage a bad day for Inogen, Inc. (NASDAQ:INGN), with the analysts making across-the-board cuts to their statutory estimates that might leave shareholders a little shell-shocked. There was a fairly draconian cut to their revenue estimates, perhaps an implicit admission that previous forecasts were much too optimistic.
Following the downgrade, the consensus from dual analysts covering Inogen is for revenues of US$308m in 2027, implying an uncomfortable 13% decline in sales compared to the last 12 months. Prior to the latest estimates, the analysts were forecasting revenues of US$373m in 2027. The consensus view seems to have become more pessimistic on Inogen, noting the substantial drop in revenue estimates in this update.
Check out our latest analysis for Inogen
Of course, another way to look at these forecasts is to place them into context against the industry itself. Over the past five years, revenues have declined around 1.3% annually. Worse, forecasts are essentially predicting the decline to accelerate, with the estimate for an annualised 11% decline in revenue until the end of 2027. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to see their revenue grow 7.5% per year. So while a broad number of companies are forecast to grow, unfortunately Inogen is expected to see its sales affected worse than other companies in the industry.
The Bottom Line
The most important thing to take away is that analysts cut their revenue estimates for next year. They’re also anticipating slower revenue growth than the wider market. Given the stark change in sentiment, we’d understand if investors became more cautious on Inogen after today.
But wait – there’s more! We have estimates for Inogen from its dual analysts out until 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.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.
