Neurocrine Biosciences, Inc. (NASDAQ:NBIX) investors will be delighted, with the company turning in some strong numbers with its latest results. The company beat forecasts, with revenue of US$815m, some 6.4% above estimates, and statutory earnings per share (EPS) coming in at US$1.91, 61% ahead of expectations. 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. We've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.

After the latest results, the 18 analysts covering Neurocrine Biosciences are now predicting revenues of US$3.76b in 2026. If met, this would reflect a major 21% improvement in revenue compared to the last 12 months. Statutory earnings per share are forecast to dive 25% to US$5.01 in the same period. In the lead-up to this report, the analysts had been modelling revenues of US$3.72b and earnings per share (EPS) of US$4.59 in 2026. The analysts seems to have become more bullish on the business, judging by their new earnings per share estimates.

The consensus price target was unchanged at US$191, implying that the improved earnings outlook is not expected to have a long term impact on value creation for shareholders. 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. Currently, the most bullish analyst values Neurocrine Biosciences at US$251 per share, while the most bearish prices it at US$144. These price targets show that analysts do have some differing views on the business, but the estimates do not vary enough to suggest to us that some are betting on wild success or utter failure.

One way to get more context on these forecasts is to look at how they compare to both past performance, and how other companies in the same industry are performing. The analysts are definitely expecting Neurocrine Biosciences' growth to accelerate, with the forecast 29% annualised growth to the end of 2026 ranking favourably alongside historical growth of 22% per annum over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 21% annually. Factoring in the forecast acceleration in revenue, it's pretty clear that Neurocrine Biosciences is expected to grow much faster than its industry.

The Bottom Line

The biggest takeaway for us is the consensus earnings per share upgrade, which suggests a clear improvement in sentiment around Neurocrine Biosciences' earnings potential next year. Fortunately, they also reconfirmed their revenue numbers, suggesting that it's tracking in line with expectations. Additionally, our data suggests that revenue is expected to grow faster than the wider industry. The consensus price target held steady at US$191, with the latest estimates not enough to have an impact on their price targets.

With that in mind, we wouldn't be too quick to come to a conclusion on Neurocrine Biosciences. Long-term earnings power is much more important than next year's profits. At Simply Wall St, we have a full range of analyst estimates for Neurocrine Biosciences going out to 2028, and you can see them free on our platform here..

We also provide an overview of the Neurocrine Biosciences Board and CEO remuneration and length of tenure at the company, and whether insiders have been buying the stock, here.

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.