There's been a notable change in appetite for AudioEye, Inc. (NASDAQ:AEYE) shares in the week since its quarterly report, with the stock down 15% to US$10.10. Results were overall in line with expectations, with the company breaking even at the statutory earnings per share (EPS) level on US$9.9m in revenue. The analysts typically update their forecasts at each earnings report, and we can judge from their estimates whether their view of the company has changed or if there are any new concerns to be aware of. We've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.
Taking into account the latest results, the current consensus from AudioEye's five analysts is for revenues of US$40.4m in 2025. This would reflect a modest 5.7% increase on its revenue over the past 12 months. Losses are expected to hold steady at around US$0.34. Before this earnings announcement, the analysts had been modelling revenues of US$41.4m and losses of US$0.016 per share in 2025. So it's pretty clear the analysts have mixed opinions on AudioEye after this update; revenues were downgraded and per-share losses expected to increase.
See our latest analysis for AudioEye
The average price target was broadly unchanged at US$22.20, perhaps implicitly signalling that the weaker earnings outlook is not expected to have a long-term impact on the valuation. Fixating on a single price target can be unwise though, since the consensus target is effectively the average of analyst price targets. As a result, some investors like to look at the range of estimates to see if there are any diverging opinions on the company's valuation. There are some variant perceptions on AudioEye, with the most bullish analyst valuing it at US$25.00 and the most bearish at US$19.00 per share. Still, with such a tight range of estimates, it suggeststhe analysts have a pretty good idea of what they think the company is worth.
Of course, another way to look at these forecasts is to place them into context against the industry itself. The period to the end of 2025 brings more of the same, according to the analysts, with revenue forecast to display 12% growth on an annualised basis. That is in line with its 14% annual growth over the past five years. Juxtapose this against our data, which suggests that other companies (with analyst coverage) in the industry are forecast to see their revenues grow 13% per year. So although AudioEye is expected to maintain its revenue growth rate, it's only growing at about the rate of the wider industry.
The most important thing to note is the forecast of increased losses next year, suggesting all may not be well at AudioEye. Sadly, they also downgraded their revenue forecasts, but the business is still expected to grow at roughly the same rate as the industry itself. The consensus price target held steady at US$22.20, with the latest estimates not enough to have an impact on their price targets.
Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. At Simply Wall St, we have a full range of analyst estimates for AudioEye going out to 2026, and you can see them free on our platform here..
You can also view our analysis of AudioEye's balance sheet, and whether we think AudioEye is carrying too much debt, for free on our platform here.
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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.