Here's What Analysts Are Forecasting For Lotus Bakeries NV (EBR:LOTB) After Its Full-Year Results

Last week, you might have seen that Lotus Bakeries NV (EBR:LOTB) released its annual result to the market. The early response was not positive, with shares down 6.0% to €5,350 in the past week. It was a pretty mixed result, with revenues beating expectations to hit €750m. Statutory earnings fell 4.7% short of analyst forecasts, reaching €112 per share. 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.

See our latest analysis for Lotus Bakeries

Following the latest results, Lotus Bakeries' twin analysts are now forecasting revenues of €832.3m in 2022. This would be a meaningful 11% improvement in sales compared to the last 12 months. Per-share earnings are expected to step up 13% to €127. Yet prior to the latest earnings, the analysts had been anticipated revenues of €798.7m and earnings per share (EPS) of €130 in 2022. Overall it looks as though the analysts were a bit mixed on the latest results. Although there was a a meaningful to revenue, the consensus also made a minor downgrade to its earnings per share forecasts.

The consensus price target was unchanged at €5,617, suggesting the business is performing roughly in line with expectations, despite some adjustments to profit and revenue forecasts.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Lotus Bakeries' past performance and to peers in the same industry. The analysts are definitely expecting Lotus Bakeries' growth to accelerate, with the forecast 11% annualised growth to the end of 2022 ranking favourably alongside historical growth of 8.2% per annum over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 7.2% annually. It seems obvious that, while the growth outlook is brighter than the recent past, the analysts also expect Lotus Bakeries to grow faster than the wider industry.

The Bottom Line

The biggest concern is that the analysts reduced their earnings per share estimates, suggesting business headwinds could lay ahead for Lotus Bakeries. Happily, they also upgraded their revenue estimates, and are forecasting revenues to grow faster than the wider industry. The consensus price target held steady at €5,617, with the latest estimates not enough to have an impact on their price targets.

Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. We have analyst estimates for Lotus Bakeries going out as far as 2024, and you can see them free on our platform here.

You can also see whether Lotus Bakeries is carrying too much debt, and whether its balance sheet is healthy, for free on our platform 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.