Shareholders might have noticed that Pacira BioSciences, Inc. (NASDAQ:PCRX) filed its yearly result this time last week. The early response was not positive, with shares down 4.4% to US$24.05 in the past week. The statutory results were mixed overall, with revenues of US$701m in line with analyst forecasts, but losses of US$2.15 per share, some 6.6% larger than the analysts were predicting. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analysts have changed their mind on Pacira BioSciences after the latest results.

Check out our latest analysis for Pacira BioSciences

Taking into account the latest results, the most recent consensus for Pacira BioSciences from six analysts is for revenues of US$750.9m in 2025. If met, it would imply a reasonable 7.1% increase on its revenue over the past 12 months. Pacira BioSciences is also expected to turn profitable, with statutory earnings of US$1.11 per share. Before this earnings report, the analysts had been forecasting revenues of US$747.6m and earnings per share (EPS) of US$1.54 in 2025. So there's definitely been a decline in sentiment after the latest results, noting the large cut to new EPS forecasts.

Althoughthe analysts have revised their earnings forecasts for next year, they've also lifted the consensus price target 11% to US$31.71, suggesting the revised estimates are not indicative of a weaker long-term future for the business. There's another way to think about price targets though, and that's to look at the range of price targets put forward by analysts, because a wide range of estimates could suggest a diverse view on possible outcomes for the business. Currently, the most bullish analyst values Pacira BioSciences at US$50.00 per share, while the most bearish prices it at US$21.00. Note the wide gap in analyst price targets? This implies to us that there is a fairly broad range of possible scenarios for the underlying business.

Of course, another way to look at these forecasts is to place them into context against the industry itself. It's pretty clear that there is an expectation that Pacira BioSciences' revenue growth will slow down substantially, with revenues to the end of 2025 expected to display 7.1% growth on an annualised basis. This is compared to a historical growth rate of 12% over the past five years. Juxtapose this against the other companies in the industry with analyst coverage, which are forecast to grow their revenues (in aggregate) 8.5% annually. So it's pretty clear that, while Pacira BioSciences' revenue growth is expected to slow, it's expected to grow roughly in line with the industry.

The Bottom Line

The biggest concern is that the analysts reduced their earnings per share estimates, suggesting business headwinds could lay ahead for Pacira BioSciences. Happily, there were no real changes to revenue forecasts, with the business still expected to grow in line with the overall industry. There was also a nice increase in the price target, with the analysts clearly feeling that the intrinsic value of the business is improving.

With that in mind, we wouldn't be too quick to come to a conclusion on Pacira BioSciences. Long-term earnings power is much more important than next year's profits. We have estimates - from multiple Pacira BioSciences analysts - going out to 2027, and you can see them free on our platform here.

You can also see whether Pacira BioSciences is carrying too much debt, and whether its balance sheet is healthy, 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.