We feel now is a pretty good time to analyse comScore, Inc.'s (NASDAQ:SCOR) business as it appears the company may be on the cusp of a considerable accomplishment. comScore, Inc. operates as an information and analytics company that measures audiences, consumer behavior, and advertising across media platforms in the United States, Europe, Latin America, Canada, and internationally. The company’s loss has recently broadened since it announced a US$96m loss in the full financial year, compared to the latest trailing-twelve-month loss of US$109m, moving it further away from breakeven. As path to profitability is the topic on comScore's investors mind, we've decided to gauge market sentiment. We've put together a brief outline of industry analyst expectations for the company, its year of breakeven and its implied growth rate.

Consensus from 2 of the American Media analysts is that comScore is on the verge of breakeven. They expect the company to post a final loss in 2025, before turning a profit of US$6.8m in 2026. Therefore, the company is expected to breakeven roughly 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 111% year-on-year, on average, which signals high confidence from analysts. If this rate turns out to be too aggressive, the company may become profitable much later than analysts predict.

We're not going to go through company-specific developments for comScore given that this is a high-level summary, but, bear in mind that typically a high forecast growth rate is not unusual for a company that is currently undergoing an investment period.

One thing we’d like to point out is that The company has managed its capital prudently, with debt making up 4.9% of equity. This means that it has predominantly funded its operations from equity capital, and its low debt obligation reduces the risk around investing in the loss-making company.

Next Steps:

There are too many aspects of comScore to cover in one brief article, but the key fundamentals for the company can all be found in one place – comScore's company page on Simply Wall St. We've also compiled a list of relevant aspects you should further research:

1. Valuation: What is comScore 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 comScore is currently mispriced by the market.
2. Management Team: An experienced management team on the helm increases our confidence in the business – take a look at who sits on comScore’s board and the CEO’s background.
3. 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.

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.