That is the view of Sky Sports pundit and former American tennis star Peter Fleming.
Federer was beaten by Belgian David Goffin yesterday in three sets at London’s O2 Arena.
The Swiss legend had won all three of his round robin matches heading into the clash with Goffin, a player he had beaten on every occasion they had played previously.
Federer was the hot favourite to win the tournament for a seventh time, and his first since 2011, after World No 1 Rafael Nadal pulled out with injury earlier this week.
However, Goffin produced a stunning victory to beat the 36-year-old.
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Fleming has backed Roger Federer, who won two Grand Slams this year, to come back stronger in 2018.
“A huge disappointment really,” Fleming said.
“I’m sure that because everybody had picked him (to win), that means probably nothing to him, but he was undefeated coming into the semi-finals against all three opponents.
“He had to think ‘alright, this is pretty good, just play your best tennis or somewhere near it and you’re good to go’.
“Yeah he’ll be disappointed but he’s had bigger disappointments I think during his career and he’s come back even stronger.
“So he will be alright I think in the end.”
Goffin will play Grigor Dimitrov in the final later this evening after he overcame Jack Sock in his semi-final last night.