Intapp, Inc. (NASDAQ:INTA) Just Reported And Analysts Have Been Lifting Their Price Targets
It's been a pretty great week for Intapp, Inc. (NASDAQ:INTA) shareholders, with its shares surging 13% to US$36.36 in the week since its latest yearly results. Intapp reported revenues of US$578m, in line with expectations, but it unfortunately also reported (statutory) losses of US$0.52 per share, which were slightly larger than expected. Following the result, the analysts have updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analysts have changed their mind on Intapp after the latest results.
After the latest results, the eight analysts covering Intapp are now predicting revenues of US$657.7m in 2027. If met, this would reflect a decent 14% improvement in revenue compared to the last 12 months. Statutory losses are forecast to balloon 72% to US$0.15 per share. Yet prior to the latest earnings, the analysts had been anticipated revenues of US$656.3m and earnings per share (EPS) of US$0.26 in 2027. While the analysts have made no real change to their revenue estimates, we can see that the consensus is now modelling a loss next year - a clear dip in sentiment compared to the previous outlook of a profit.
Check out our latest analysis for Intapp
Although the analysts are now forecasting higher losses, the average price target rose 17% to 33.71429, which could indicate that these losses are expected to be "one-off", or are not anticipated to have a longer-term impact on the business. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. The most optimistic Intapp analyst has a price target of US$47.00 per share, while the most pessimistic values it at US$29.00. As you can see, analysts are not all in agreement on the stock's future, but the range of estimates is still reasonably narrow, which could suggest that the outcome is not totally unpredictable.
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. We would highlight that Intapp's revenue growth is expected to slow, with the forecast 14% annualised growth rate until the end of 2027 being well below the historical 19% p.a. growth over the last five years. Compare this to the 422 other companies in this industry with analyst coverage, which are forecast to grow their revenue at 16% per year. So it's pretty clear that, while Intapp's revenue growth is expected to slow, it's expected to grow roughly in line with the industry.
The Bottom Line
The biggest low-light for us was that the forecasts for Intapp dropped from profits to a loss next year. They also reconfirmed their revenue estimates, with the company predicted to grow at about the same rate as the wider 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.
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 Intapp going out to 2029, and you can see them free on our platform here..
Another thing to consider is whether management and directors have been buying or selling stock recently. We provide an overview of all open market stock trades for the last twelve months 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.