FACC AG Reported A Surprise Loss, And Analysts Have Updated Their Forecasts

It's been a good week for FACC AG (VIE:FACC) shareholders, because the company has just released its latest quarterly results, and the shares gained 7.6% to €9.20. It looks like a pretty bad result, given that revenues fell 13% short of analyst estimates at €213m, and the company reported a statutory loss of €0.02 per share instead of the profit that the analysts had been forecasting. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. So we gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.

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Taking into account the latest results, the consensus forecast from FACC's four analysts is for revenues of €1.07b in 2026. This reflects a meaningful 14% improvement in revenue compared to the last 12 months. Per-share earnings are expected to surge 250% to €0.77. Before this earnings report, the analysts had been forecasting revenues of €1.06b and earnings per share (EPS) of €0.74 in 2026. The analysts seems to have become more bullish on the business, judging by their new earnings per share estimates.

View our latest analysis for FACC

The consensus price target was unchanged at €10.53, implying that the improved earnings outlook is not expected to have a long term impact on value creation for shareholders. The consensus price target is just an average of individual analyst targets, so - it could be handy to see how wide the range of underlying estimates is. The most optimistic FACC analyst has a price target of €12.00 per share, while the most pessimistic values it at €8.20. 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.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the FACC's past performance and to peers in the same industry. It's pretty clear that there is an expectation that FACC's revenue growth will slow down substantially, with revenues to the end of 2026 expected to display 11% growth on an annualised basis. This is compared to a historical growth rate of 15% over the past five years. Juxtapose this against the other companies in the industry with analyst coverage, which are forecast to grow their revenues (in aggregate) 12% annually. Factoring in the forecast slowdown in growth, it looks like FACC is forecast to grow at about the same rate as the wider industry.

The Bottom Line

The biggest takeaway for us is the consensus earnings per share upgrade, which suggests a clear improvement in sentiment around FACC's earnings potential next year. They also reconfirmed their revenue estimates, with the company predicted to grow at about the same rate as 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 in mind, we wouldn't be too quick to come to a conclusion on FACC. Long-term earnings power is much more important than next year's profits. We have forecasts for FACC going out to 2027, and you can see them free on our platform here.

Even so, be aware that FACC is showing 3 warning signs in our investment analysis , and 1 of those shouldn't be ignored...

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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.