Emaar Development PJSC (DFM:EMAARDEV) Analysts Just Slashed This Year's Revenue Estimates By 16%

Market forces rained on the parade of Emaar Development PJSC (DFM:EMAARDEV) shareholders today, when the analysts downgraded their forecasts for this year. This report focused on revenue estimates, and it looks as though the consensus view of the business has become substantially more conservative.

Following the downgrade, the most recent consensus for Emaar Development PJSC from its nine analysts is for revenues of د.إ17b in 2024 which, if met, would be a major 31% increase on its sales over the past 12 months. Per-share earnings are expected to rise 4.9% to د.إ1.80. Before this latest update, the analysts had been forecasting revenues of د.إ20b and earnings per share (EPS) of د.إ1.80 in 2024. So there's been a clear change in analyst sentiment in the recent update, with the analysts making a substantial drop in revenues and reconfirming their earnings per share estimates.

Check out our latest analysis for Emaar Development PJSC

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Emaar Development PJSC's past performance and to peers in the same industry. For example, we noticed that Emaar Development PJSC's rate of growth is expected to accelerate meaningfully, with revenues forecast to exhibit 44% growth to the end of 2024 on an annualised basis. That is well above its historical decline of 3.8% a year over the past five years. Compare this against analyst estimates for the broader industry, which suggest that (in aggregate) industry revenues are expected to grow 12% annually. Not only are Emaar Development PJSC's revenues expected to improve, it seems that the analysts are also expecting it to grow faster than the wider industry.

The Bottom Line

The most obvious conclusion from this consensus update is that there's been no major change in the business' prospects in recent times, with analysts holding earnings per share steady, in line with previous estimates. Unfortunately, analysts also downgraded their revenue estimates, although our data indicates revenues are expected to perform better than the wider market. Given the stark change in sentiment, we'd understand if investors became more cautious on Emaar Development PJSC after today.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have estimates - from multiple Emaar Development PJSC analysts - going out to 2026, and you can see them free on our platform here.

Of course, seeing company management invest large sums of money in a stock can be just as useful as knowing whether analysts are downgrading their estimates. So you may also wish to search this free list of stocks with high insider ownership.

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