Need To Know: Analysts Are Much More Bullish On TECOM Group PJSC (DFM:TECOM) Revenues

Shareholders in TECOM Group PJSC (DFM:TECOM) may be thrilled to learn that the analysts have just delivered a major upgrade to their near-term forecasts. The analysts have sharply increased their revenue numbers, with a view that TECOM Group PJSC will make substantially more sales than they'd previously expected.

Following the upgrade, the latest consensus from TECOM Group PJSC's three analysts is for revenues of د.إ2.2b in 2023, which would reflect a notable 9.0% improvement in sales compared to the last 12 months. Before the latest update, the analysts were foreseeing د.إ1.9b of revenue in 2023. It looks like there's been a clear increase in optimism around TECOM Group PJSC, given the substantial gain in revenue forecasts.

View our latest analysis for TECOM Group PJSC

There was no particular change to the consensus price target of د.إ2.93, with TECOM Group PJSC's latest outlook seemingly not enough to result in a change of valuation. 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. The most optimistic TECOM Group PJSC analyst has a price target of د.إ3.14 per share, while the most pessimistic values it at د.إ2.56. Still, with such a tight range of estimates, it suggests the analysts have a pretty good idea of what they think the company is worth.

Of course, another way to look at these forecasts is to place them into context against the industry itself. It's clear from the latest estimates that TECOM Group PJSC's rate of growth is expected to accelerate meaningfully, with the forecast 12% annualised revenue growth to the end of 2023 noticeably faster than its historical growth of 9.9% over the past year. Compare this with other companies in the same industry, which are forecast to grow their revenue 6.1% annually. It seems obvious that, while the growth outlook is brighter than the recent past, the analysts also expect TECOM Group PJSC to grow faster than the wider industry.

The Bottom Line

The highlight for us was that analysts increased their revenue forecasts for TECOM Group PJSC this year. They're also forecasting more rapid revenue growth than the wider market. Seeing the dramatic upgrade to this year's forecasts, it might be time to take another look at TECOM Group PJSC.

Hungry for more information? We have analyst estimates for TECOM Group PJSC going out to 2025, and you can see them free on our platform here.

We also provide an overview of the TECOM Group PJSC Board and CEO remuneration and length of tenure at the company, and whether insiders have been buying the stock, here.

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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.