Yahoo Finance Analysts Expect Breakeven For Boxlight Corporation (NASDAQ:BOXL) Before Long
With the business potentially at an important milestone, we thought we'd take a closer look at Boxlight Corporation's (NASDAQ:BOXL) future prospects. Boxlight Corporation designs, produces, and distributes interactive technology solutions for the education, health, corporate, military, and government sectors in the Americas, Europe, the Middle East, Africa, and internationally. On 31 December 2023, the US$5.4m market-cap company posted a loss of US$40m for its most recent financial year. The most pressing concern for investors is Boxlight's path to profitability – when will it 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 Boxlight
According to the 3 industry analysts covering Boxlight, the consensus is that breakeven is near. They expect the company to post a final loss in 2024, before turning a profit of US$411k in 2025. The company is therefore projected to breakeven just over a year from today. In order to meet this breakeven date, we calculated the rate at which the company must grow year-on-year. It turns out an average annual growth rate of 117% is expected, which is extremely buoyant. Should the business grow at a slower rate, it will become profitable at a later date than expected.
Underlying developments driving Boxlight's growth isn’t the focus of this broad overview, though, take into account that typically a high forecast growth rate is not unusual for a company that is currently undergoing an investment period.
Before we wrap up, there’s one issue worth mentioning. Boxlight currently has a relatively high level of debt. Generally, the rule of thumb is debt shouldn’t exceed 40% of your equity, which in Boxlight's case is 89%. Note that a higher debt obligation increases the risk around investing in the loss-making company.
Next Steps:
There are too many aspects of Boxlight to cover in one brief article, but the key fundamentals for the company can all be found in one place – Boxlight's company page on Simply Wall St. We've also put together a list of relevant factors you should look at:
Valuation: What is Boxlight worth today? Has the future growth potential already been factored into the price? The intrinsic value infographic in our free research report helps visualize whether Boxlight is currently mispriced by the market.
Management Team: An experienced management team on the helm increases our confidence in the business – take a look at who sits on Boxlight’s board and the CEO’s background.
Other High-Performing Stocks: Are there other stocks that provide better prospects with proven track records? Explore our free list of these great stocks 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.
