The Emaar Development PJSC (DFM:EMAARDEV) Third-Quarter Results Are Out And Analysts Have Published New Forecasts

It's been a pretty great week for Emaar Development PJSC (DFM:EMAARDEV) shareholders, with its shares surging 14% to د.إ10.80 in the week since its latest third-quarter results. Revenue greatly exceeded expectations at د.إ5.1b, some 28% ahead of analyst forecasts. 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. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.

Check out our latest analysis for Emaar Development PJSC

Following the latest results, Emaar Development PJSC's ten analysts are now forecasting revenues of د.إ20.2b in 2025. This would be a decent 18% improvement in revenue compared to the last 12 months. Per-share earnings are expected to accumulate 4.6% to د.إ1.87. In the lead-up to this report, the analysts had been modelling revenues of د.إ20.2b and earnings per share (EPS) of د.إ1.87 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 د.إ11.29. There's another way to think about price targets though, and that's to look at the range of price targets put forward by analysts, because a wide range of estimates could suggest a diverse view on possible outcomes for the business. There are some variant perceptions on Emaar Development PJSC, with the most bullish analyst valuing it at د.إ13.50 and the most bearish at د.إ9.42 per share. There are definitely some different views on the stock, but the range of estimates is not wide enough as to imply that the situation is unforecastable, in our view.

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 Emaar Development PJSC's growth to accelerate, with the forecast 15% annualised growth to the end of 2025 ranking favourably alongside historical growth of 1.3% 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 10% per year. It seems obvious that, while the growth outlook is brighter than the recent past, the analysts also expect Emaar Development PJSC to grow faster than the wider industry.

The Bottom Line

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. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. At Simply Wall St, we have a full range of analyst estimates for Emaar Development PJSC going out to 2026, and you can see them free on our platform here..

Before you take the next step you should know about the 1 warning sign for Emaar Development PJSC that we have uncovered.

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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.