Last week, you might have seen that Petco Health and Wellness Company, Inc. (NASDAQ:WOOF) released its quarterly result to the market. The early response was not positive, with shares down 4.2% to US$4.71 in the past week. Revenue hit US$1.5b in line with forecasts, although the company reported a statutory loss per share of US$0.06 that was somewhat smaller than the analysts expected. 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. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year.

View our latest analysis for Petco Health and Wellness Company

Following last week's earnings report, Petco Health and Wellness Company's 13 analysts are forecasting 2026 revenues to be US$6.27b, approximately in line with the last 12 months. Losses are predicted to fall substantially, shrinking 85% to US$0.061. Yet prior to the latest earnings, the analysts had been forecasting revenues of US$6.30b and losses of US$0.091 per share in 2026. While the revenue estimates were largely unchanged, sentiment seems to have improved, with the analysts upgrading their numbers and making a very favorable reduction to losses per share in particular.

The average price target rose 20% to US$4.65, with the analysts signalling that the forecast reduction in losses would be a positive for the stock's valuation. That's not the only conclusion we can draw from this data however, as some investors also like to consider the spread in estimates when evaluating analyst price targets. There are some variant perceptions on Petco Health and Wellness Company, with the most bullish analyst valuing it at US$6.00 and the most bearish at US$1.50 per share. 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.

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 Petco Health and Wellness Company's revenue growth is expected to slow, with the forecast 0.5% annualised growth rate until the end of 2026 being well below the historical 7.4% p.a. growth over the last five years. By way of comparison, the other companies in this industry with analyst coverage are forecast to grow their revenue at 4.7% per year. So it's pretty clear that, while revenue growth is expected to slow down, the wider industry is also expected to grow faster than Petco Health and Wellness Company.

The Bottom Line

The most obvious conclusion is that the analysts made no changes to their forecasts for a loss next year. Fortunately, the analysts also reconfirmed their revenue estimates, suggesting that it's tracking in line with expectations. Although our data does suggest that Petco Health and Wellness Company's revenue is expected to perform worse 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.

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 Petco Health and Wellness Company going out to 2027, and you can see them free on our platform here..

And what about risks? Every company has them, and we've spotted 2 warning signs for Petco Health and Wellness Company you should know about.

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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.