KBC Group NV (EBR:KBC) Just Reported Full-Year Earnings: Have Analysts Changed Their Mind On The Stock?

Investors in KBC Group NV (EBR:KBC) had a good week, as its shares rose 7.6% to close at €82.02 following the release of its annual results. KBC Group reported €11b in revenue, roughly in line with analyst forecasts, although statutory earnings per share (EPS) of €8.33 beat expectations, being 3.8% higher than what the analysts expected. 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. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.

View our latest analysis for KBC Group

Taking into account the latest results, the current consensus from KBC Group's twelve analysts is for revenues of €11.7b in 2025. This would reflect a modest 7.1% increase on its revenue over the past 12 months. Statutory earnings per share are forecast to decrease 7.6% to €7.76 in the same period. Before this earnings report, the analysts had been forecasting revenues of €11.6b and earnings per share (EPS) of €7.78 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.

There were no changes to revenue or earnings estimates or the price target of €81.56, suggesting that the company has met expectations in its recent result. 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 KBC Group analyst has a price target of €93.00 per share, while the most pessimistic values it at €72.00. Still, with such a tight range of estimates, it suggeststhe analysts have a pretty good idea of what they think the company is worth.

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. It's pretty clear that there is an expectation that KBC Group's revenue growth will slow down substantially, with revenues to the end of 2025 expected to display 7.1% growth on an annualised basis. This is compared to a historical growth rate of 13% 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) 3.4% per year. So it's pretty clear that, while KBC Group's revenue growth is expected to slow, it's still expected to grow faster than the industry itself.

The Bottom Line

The most important thing to take away is that there's been no major change in sentiment, with the analysts reconfirming that the business is performing in line with their previous earnings per share estimates. Fortunately, they also reconfirmed their revenue numbers, suggesting that it's tracking in line with expectations. Additionally, our data suggests that revenue is expected to grow faster than the wider industry. The consensus price target held steady at €81.56, with the latest estimates not enough to have an impact on their price targets.

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 KBC Group going out to 2027, and you can see them free on our platform here..

Before you take the next step you should know about the 2 warning signs for KBC Group (1 is significant!) that we have uncovered.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

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.