Biomerica (NASDAQ:BMRA) is set to release Q2 earnings this Friday, with experts forecasting an expected EPS of -$0.05. This would mark a 37% improvement for Q2 Earnings Year on Year. The medical diagnostic manufacturer has thrived on the opportunity this year to develop a viable COVID-19 test. Biomerica’s rapid COVID-19 test is marketed produce results in 10 minutes via a finger prick. The fast acting test offers a less invasive method of diagnosis which is what continues to reel in investor interest. Currently, BMRA are unlikely release any further updates by Friday in regards to their EAU application for emergency use of COVID testing.
Table of Contents 1. Introduction 2. Key forecasts for Biomerica Earnings
Expert forecasts for Q2 Earnings
BMRA earnings are expected to improve from last quarter, with two experts pricing the EPS for Q2 -$0.05 according to NASDAQ. Q1 earnings this year posted an EPS of -$0.09, underperforming against experts forecasts. Taking this into consideration, BMRA are expected to turn a positive EPS by Q4 early 2021.
- Revenues expected for this quarter are set at $1.9 million (Zack’s Consensus data)
- Q3 revenues expected to double from 1.9 million to $3.8 million (Zack’s Consensus data)
- Expectations are highly leveraged by whether BMRA can get the 10 minute COVID testing through the EAU. The revenue for Q3-Q4 will deviate heavily depending on whether BMRA can market and sell these COVID tests by the end of the year.
- Expert predictions include the bullish outlook of 2021-22 if BMRA are successful in manufacturing the COVID test, with the EPS for 2022 Q1 forecasted to produce an EPS of 0.46
Investor outlook for Biomerica
Before I begin, I am obliged to remind our viewers that this is not advice but rather investment commentary from extensive research
The imminent future looks positive for Biomerica, with the EAU currently processing the emergency request for the FDA to approve the rapid COVID test. Biomerica announced this morning the CFO Janet Moore would be retiring and Steve Sloan would be taking this position. This restructure should have little effect on investor sentiment, with Steve Sloan bringing across experience at with previous roles at GE and Medtronic. Investors await further notice from BMRA surrounding the EAU approval, which has been in open air for months.
FDA Approval should see an immediate uptrend in the stock price , rewarding the investors who have secured low trading entries (opinion not advice). The forecasts suggest an influx in revenue through 2020-21 if all the necessary requirements (FDA approval) can be met. This is a stock to watch closely moving into 2021.
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The information above is not financial advice. Youth Investment Group has no liability for personal financial interests or investment decisions. You should make your own investment decisions based upon your own research and what you believe is best for you.