It's been a good week for Hensoldt AG (ETR:5UH) shareholders, because the company has just released its latest quarterly results, and the shares gained 6.8% to €33.40. Things were not great overall, with a surprise (statutory) loss of €0.19 per share on revenues of €528m, even though the analysts had been expecting a profit. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.
View our latest analysis for Hensoldt
Following the latest results, Hensoldt's eight analysts are now forecasting revenues of €2.65b in 2025. This would be a huge 27% improvement in revenue compared to the last 12 months. Per-share earnings are expected to surge 1,691% to €1.55. Yet prior to the latest earnings, the analysts had been anticipated revenues of €2.65b and earnings per share (EPS) of €1.55 in 2025. So it's pretty clear that, although the analysts have updated their estimates, there's been no major change in expectations for the business following the latest results.
It will come as no surprise then, to learn that the consensus price target is largely unchanged at €37.55. 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 Hensoldt, with the most bullish analyst valuing it at €44.00 and the most bearish at €27.00 per share. As you can see, analysts are not all in agreement on the stock's future, but the range of estimates is still reasonably narrow, which could suggest that the outcome is not totally unpredictable.
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. The analysts are definitely expecting Hensoldt's growth to accelerate, with the forecast 21% annualised growth to the end of 2025 ranking favourably alongside historical growth of 14% per annum over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 15% per year. Factoring in the forecast acceleration in revenue, it's pretty clear that Hensoldt is expected to grow much faster than its industry.
The most obvious conclusion is that there's been no major change in the business' prospects in recent times, with the analysts holding their earnings forecasts steady, in line with previous estimates. Happily, there were no major changes to revenue forecasts, with the business still expected to grow faster than the wider industry. The consensus price target held steady at €37.55, with the latest estimates not enough to have an impact on their price targets.
With that in mind, we wouldn't be too quick to come to a conclusion on Hensoldt. Long-term earnings power is much more important than next year's profits. We have estimates - from multiple Hensoldt 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 3 warning signs for Hensoldt you should be aware of, and 1 of them is a bit concerning.
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