Party Time: Brokers Just Made Major Increases To Their AMAG Austria Metall AG (VIE:AMAG) Earnings Forecasts

AMAG Austria Metall AG (VIE:AMAG) shareholders will have a reason to smile today, with the analysts making substantial upgrades to this year's forecasts. Consensus estimates suggest investors could expect greatly increased statutory revenues and earnings per share, with analysts modelling a real improvement in business performance.

Following the upgrade, the current consensus from AMAG Austria Metall's dual analysts is for revenues of €1.6b in 2022 which - if met - would reflect a major 26% increase on its sales over the past 12 months. Statutory earnings per share are presumed to leap 47% to €2.73. Prior to this update, the analysts had been forecasting revenues of €1.3b and earnings per share (EPS) of €2.05 in 2022. So we can see there's been a pretty clear increase in analyst sentiment in recent times, with both revenues and earnings per share receiving a decent lift in the latest estimates.

See our latest analysis for AMAG Austria Metall

Of course, another way to look at these forecasts is to place them into context against the industry itself. The analysts are definitely expecting AMAG Austria Metall's growth to accelerate, with the forecast 37% annualised growth to the end of 2022 ranking favourably alongside historical growth of 1.7% per annum over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in the same industry are forecast to see their revenue shrink 2.0% per year. So it's clear with the acceleration in growth, AMAG Austria Metall is expected to grow meaningfully faster than the wider industry.

The Bottom Line

The most important thing to take away from this upgrade is that analysts upgraded their earnings per share estimates for this year, expecting improving business conditions. On the plus side, they also lifted their revenue estimates, and the company is expected to perform better than the wider market. With a serious upgrade to expectations, it might be time to take another look at AMAG Austria Metall.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have analyst estimates for AMAG Austria Metall going out as far as 2024, 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 upgrading their estimates. So you may also wish to search this free list of stocks that insiders are buying.

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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.