Vishay Precision Group, Inc. (NYSE:VPG) last week reported its latest quarterly results, which makes it a good time for investors to dive in and see if the business is performing in line with expectations. The results don't look great, especially considering that the analysts had been forecasting a profit and Vishay Precision Group delivered a statutory loss of US$0.10 per share. Revenues of US$76m did beat expectations by 2.4% though. Following the result, the analysts have updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analysts have changed their mind on Vishay Precision Group after the latest results.
See our latest analysis for Vishay Precision Group
Taking into account the latest results, the current consensus, from the two analysts covering Vishay Precision Group, is for revenues of US$311.6m in 2025. This implies a small 3.7% reduction in Vishay Precision Group's revenue over the past 12 months. Statutory earnings per share are predicted to accumulate 2.5% to US$1.04. Yet prior to the latest earnings, the analysts had been anticipated revenues of US$318.0m and earnings per share (EPS) of US$1.50 in 2025. The analysts seem less optimistic after the recent results, reducing their revenue forecasts and making a pretty serious reduction to earnings per share numbers.
The consensus price target fell 13% to US$27.25, with the weaker earnings outlook clearly leading valuation estimates.
These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Vishay Precision Group's past performance and to peers in the same industry. These estimates imply that revenue is expected to slow, with a forecast annualised decline of 2.9% by the end of 2025. This indicates a significant reduction from annual growth of 6.2% over the last five years. Compare this with our data, which suggests that other companies in the same industry are, in aggregate, expected to see their revenue grow 7.3% per year. It's pretty clear that Vishay Precision Group's revenues are expected to perform substantially worse than the wider industry.
The most important thing to take away is that the analysts downgraded their earnings per share estimates, showing that there has been a clear decline in sentiment following these results. Unfortunately, they also downgraded their revenue estimates, and our data indicates underperformance compared to the wider industry. Even so, earnings per share are more important to the intrinsic value of the business. Furthermore, the analysts also cut their price targets, suggesting that the latest news has led to greater pessimism about the intrinsic value of the business.
Following on from that line of thought, we think that the long-term prospects of the business are much more relevant than next year's earnings. We have analyst estimates for Vishay Precision Group going out as far as 2026, and you can see them free on our platform here.
And what about risks? Every company has them, and we've spotted 1 warning sign for Vishay Precision Group you should know about.
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