Yahoo Finance What You Need To Know About The Boat Rocker Media Inc. (TSE:BRMI) Analyst Downgrade Today
The analysts covering Boat Rocker Media Inc. (TSE:BRMI) delivered a dose of negativity to shareholders today, by making a substantial revision to their statutory forecasts for next year. Revenue estimates were cut sharply as analysts signalled a weaker outlook - perhaps a sign that investors should temper their expectations as well.
After the downgrade, the consensus from Boat Rocker Media's four analysts is for revenues of CA$348m in 2024, which would reflect a disturbing 33% decline in sales compared to the last year of performance. Before the latest update, the analysts were foreseeing CA$392m of revenue in 2024. It looks like forecasts have become a fair bit less optimistic on Boat Rocker Media, given the substantial drop in revenue estimates.
Check out our latest analysis for Boat Rocker Media
Notably, the analysts have cut their price target 24% to CA$3.56, suggesting concerns around Boat Rocker Media's valuation.
These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Boat Rocker Media's past performance and to peers in the same industry. We would highlight that sales are expected to reverse, with a forecast 28% annualised revenue decline to the end of 2024. That is a notable change from historical growth of 19% over the last five years. Compare this with our data, which suggests that other companies in the same industry are, in aggregate, expected to see their revenue grow 8.8% per year. It's pretty clear that Boat Rocker Media's revenues are expected to perform substantially worse than the wider industry.
The Bottom Line
The clear low-light was that analysts slashing their revenue forecasts for Boat Rocker Media next year. They also expect company revenue to perform worse 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 Boat Rocker Media's future valuation. Given the stark change in sentiment, we'd understand if investors became more cautious on Boat Rocker Media after today.
Thirsting for more data? We have estimates for Boat Rocker Media from its four analysts out until 2025, 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 that insiders are buying.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. 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.
