Published on 21 Feb 2024 on Simply Wall St. via Yahoo Finance

Precigen, Inc. (NASDAQ:PGEN): When Will It Breakeven?

With the business potentially at an important milestone, we thought we'd take a closer look at Precigen, Inc.'s (NASDAQ:PGEN) future prospects. Precigen, Inc. operates as a discovery and clinical stage biopharmaceutical company that develops gene and cell therapies using precision technology to target diseases in therapeutic areas of immuno-oncology, autoimmune disorders, and infectious diseases. The US$353m market-cap company posted a loss in its most recent financial year of US$80m and a latest trailing-twelve-month loss of US$85m leading to an even wider gap between loss and breakeven. Many investors are wondering about the rate at which Precigen will turn a profit, with the big question being “when will the company breakeven?” We've put together a brief outline of industry analyst expectations for the company, its year of breakeven and its implied growth rate.

View our latest analysis for Precigen

Consensus from 4 of the American Biotechs analysts is that Precigen is on the verge of breakeven. They anticipate the company to incur a final loss in 2025, before generating positive profits of US$55m in 2026. So, the company is predicted to breakeven approximately 2 years from today. How fast will the company have to grow each year in order to reach the breakeven point by 2026? Working backwards from analyst estimates, it turns out that they expect the company to grow 48% year-on-year, on average, which signals high confidence from analysts. Should the business grow at a slower rate, it will become profitable at a later date than expected.