Analyst Estimates: Here's What Brokers Think Of Iluka Resources Limited (ASX:ILU) After Its Full-Year Report

Last week saw the newest full-year earnings release from Iluka Resources Limited (ASX:ILU), an important milestone in the company's journey to build a stronger business. Results look mixed - while revenue fell marginally short of analyst estimates at AU$1.1b, statutory earnings beat expectations 4.0%, with Iluka Resources reporting profits of AU$0.54 per share. The analysts typically update their forecasts at each earnings report, and we can judge from their estimates whether their view of the company has changed or if there are any new concerns to be aware of. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year.

See our latest analysis for Iluka Resources

Taking into account the latest results, the most recent consensus for Iluka Resources from nine analysts is for revenues of AU$1.20b in 2025. If met, it would imply a satisfactory 6.3% increase on its revenue over the past 12 months. Before this earnings report, the analysts had been forecasting revenues of AU$1.21b and earnings per share (EPS) of AU$0.40 in 2025. So we can see that while the consensus made no real change to its revenue estimates, it also no longer provides an earnings per share estimate. This suggests that revenues are what the market is focusing on after the latest results.

There's been no real change to the consensus price target of AU$5.93, with Iluka Resources seemingly executing in line with expectations. 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. There are some variant perceptions on Iluka Resources, with the most bullish analyst valuing it at AU$9.20 and the most bearish at AU$4.75 per share. Note the wide gap in analyst price targets? This implies to us that there is a fairly broad range of possible scenarios for the underlying business.

Looking at the bigger picture now, one of the ways we can make sense of these forecasts is to see how they measure up against both past performance and industry growth estimates. It's clear from the latest estimates that Iluka Resources' rate of growth is expected to accelerate meaningfully, with the forecast 6.3% annualised revenue growth to the end of 2025 noticeably faster than its historical growth of 2.8% p.a. over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 4.2% annually. It seems obvious that, while the growth outlook is brighter than the recent past, the analysts also expect Iluka Resources to grow faster than the wider industry.

The Bottom Line

The clear take away from these updates is that the analysts made no change to their revenue estimates for next year, with the business apparently performing in line with their models. 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.

We have estimates for Iluka Resources from its nine analysts out to 2027, and you can see them free on our platform here.

You still need to take note of risks, for example - Iluka Resources has 1 warning sign we think you should be aware of.

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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.