The investors in Remitly Global, Inc.'s (NASDAQ:RELY) will be rubbing their hands together with glee today, after the share price leapt 22% to US$17.95 in the week following its third-quarter results. It was overall a positive result, with revenues beating expectations by 5.0% to hit US$337m. Remitly Global also reported a statutory profit of US$0.01, which was a nice improvement from the loss that the analysts were predicting. 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. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analysts have changed their mind on Remitly Global after the latest results.

Check out our latest analysis for Remitly Global

Following the latest results, Remitly Global's eight analysts are now forecasting revenues of US$1.56b in 2025. This would be a sizeable 33% improvement in revenue compared to the last 12 months. The loss per share is expected to greatly reduce in the near future, narrowing 71% to US$0.098. Yet prior to the latest earnings, the analysts had been forecasting revenues of US$1.56b and losses of US$0.052 per share in 2025. So it's pretty clear the analysts have mixed opinions on Remitly Global even after this update; although they reconfirmed their revenue numbers, it came at the cost of a sizeable expansion in per-share losses.

Despite expectations of heavier losses next year,the analysts have lifted their price target 12% to US$23.22, perhaps implying these losses are not expected to be recurring over the long term. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. Currently, the most bullish analyst values Remitly Global at US$30.00 per share, while the most bearish prices it at US$16.00. Note the wide gap in analyst price targets? This implies to us that there is a fairly broad range of possible scenarios for the underlying business.

Another way we can view these estimates is in the context of the bigger picture, such as how the forecasts stack up against past performance, and whether forecasts are more or less bullish relative to other companies in the industry. We would highlight that Remitly Global's revenue growth is expected to slow, with the forecast 25% annualised growth rate until the end of 2025 being well below the historical 36% p.a. growth over the last five years. Juxtapose this against the other companies in the industry with analyst coverage, which are forecast to grow their revenues (in aggregate) 4.7% per year. Even after the forecast slowdown in growth, it seems obvious that Remitly Global is also expected to grow faster than the wider industry.

The Bottom Line

The most important thing to note is the forecast of increased losses next year, suggesting all may not be well at Remitly Global. Happily, there were no major changes to revenue forecasts, with the business still expected to grow faster than 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.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have estimates - from multiple Remitly Global analysts - going out to 2026, and you can see them free on our platform here.

You should always think about risks though. Case in point, we've spotted 1 warning sign for Remitly Global you should be aware of.

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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.