One thing we could say about the analysts on Sigma Lithium Corporation (NASDAQ:SGML) - they aren't optimistic, having just made a major negative revision to their near-term (statutory) forecasts for the organization. This report focused on revenue estimates, and it looks as though the consensus view of the business has become substantially more conservative.
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Following the downgrade, the most recent consensus for Sigma Lithium from its four analysts is for revenues of CA$244m in 2025 which, if met, would be a decent 11% increase on its sales over the past 12 months. Before the latest update, the analysts were foreseeing CA$266m of revenue in 2025. It looks like the analysts have become a bit less bullish on Sigma Lithium, given the slight decrease in revenue estimates after the latest consensus updates.
View our latest analysis for Sigma Lithium
Taking a look at the bigger picture now, one of the ways we can understand these forecasts is to see how they compare to both past performance and industry growth estimates. We would highlight that Sigma Lithium's revenue growth is expected to slow, with the forecast 16% annualised growth rate until the end of 2025 being well below the historical 79% p.a. growth over the last five years. By way of comparison, the other companies in this industry with analyst coverage are forecast to grow their revenue at 4.6% annually. Even after the forecast slowdown in growth, it seems obvious that Sigma Lithium is also expected to grow faster than the wider industry.
The clear low-light was that analysts slashing their revenue forecasts for Sigma Lithium this year. The analysts also expect revenues to grow faster than the wider market. 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 Sigma Lithium after today.
Hungry for more information? We have estimates for Sigma Lithium from its four analysts out until 2027, and you can see them free on our platform here.
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