Industry Analysts Just Upgraded Their Enauta Participações S.A. (BVMF:ENAT3) Revenue Forecasts By 22%

Celebrations may be in order for Enauta Participações S.A. (BVMF:ENAT3) shareholders, with the analysts delivering a significant upgrade to their statutory estimates for the company. The revenue forecast for this year has experienced a facelift, with analysts now much more optimistic on its sales pipeline.

Following the upgrade, the current consensus from Enauta Participações' five analysts is for revenues of R$4.5b in 2024 which - if met - would reflect a sizeable 225% increase on its sales over the past 12 months. Losses are expected to turn into profits real soon, with the analysts forecasting R$4.01 in per-share earnings. Prior to this update, the analysts had been forecasting revenues of R$3.7b and earnings per share (EPS) of R$3.97 in 2024. It seems analyst sentiment has certainly become more bullish on revenues, even though they haven't changed their view on earnings per share.

Check out our latest analysis for Enauta Participações

The consensus price target increased 7.1% to R$21.67, with an improved revenue forecast carrying the promise of a more valuable business, in time.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Enauta Participações' past performance and to peers in the same industry. The analysts are definitely expecting Enauta Participações' growth to accelerate, with the forecast 225% annualised growth to the end of 2024 ranking favourably alongside historical growth of 17% per annum over the past five years. Compare this with other companies in the same industry, which are forecast to see a revenue decline of 0.9% annually. It seems obvious that as part of the brighter growth outlook, Enauta Participações is expected to grow faster than the wider industry.

The Bottom Line

The most obvious conclusion from this consensus update is that there's been no major change in the business' prospects in recent times, with analysts holding earnings per share steady, in line with previous estimates. On the plus side, they also lifted their revenue estimates, and the company is expected to perform better than the wider market. There was also a nice increase in the price target, with analysts apparently feeling that the intrinsic value of the business is improving. Seeing the dramatic upgrade to this year's forecasts, it might be time to take another look at Enauta Participações.

Still, the long-term prospects of the business are much more relevant than next year's earnings. We have estimates - from multiple Enauta Participações analysts - going out to 2026, and you can see them free on our platform here.

Another way to search for interesting companies that could be reaching an inflection point is to track whether management are buying or selling, with our free list of growing companies that insiders are buying.

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