Published on 31 May 2023 on Simply Wall St. via Yahoo Finance

Intercept Pharmaceuticals, Inc.'s (NASDAQ:ICPT) Shift From Loss To Profit

We feel now is a pretty good time to analyse Intercept Pharmaceuticals, Inc.'s (NASDAQ:ICPT) business as it appears the company may be on the cusp of a considerable accomplishment. Intercept Pharmaceuticals, Inc., a biopharmaceutical company, focuses on the development and commercialization of therapeutics to treat progressive non-viral liver diseases in the United States, Europe, and Canada. The US$449m market-cap company’s loss lessened since it announced a US$175m loss in the full financial year, compared to the latest trailing-twelve-month loss of US$173m, as it approaches breakeven. As path to profitability is the topic on Intercept Pharmaceuticals' investors mind, we've decided to gauge market sentiment. In this article, we will touch on the expectations for the company's growth and when analysts expect it to become profitable.

See our latest analysis for Intercept Pharmaceuticals

According to the 16 industry analysts covering Intercept Pharmaceuticals, the consensus is that breakeven is near. They anticipate the company to incur a final loss in 2023, before generating positive profits of US$34m in 2024. So, the company is predicted to breakeven just over a year from today. How fast will the company have to grow each year in order to reach the breakeven point by 2024? Working backwards from analyst estimates, it turns out that they expect the company to grow 63% year-on-year, on average, which is rather optimistic! Should the business grow at a slower rate, it will become profitable at a later date than expected.