Minerva S.A. Just Missed Earnings - But Analysts Have Updated Their Models

Minerva S.A. (BVMF:BEEF3) shareholders are probably feeling a little disappointed, since its shares fell 6.4% to R$5.39 in the week after its latest quarterly results. Results overall were not great, with earnings of R$0.15 per share falling drastically short of analyst expectations. Meanwhile revenues hit R$8.5b and were slightly better than forecasts. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.

Check out our latest analysis for Minerva

After the latest results, the ten analysts covering Minerva are now predicting revenues of R$41.5b in 2025. If met, this would reflect a sizeable 40% improvement in revenue compared to the last 12 months. Before this earnings report, the analysts had been forecasting revenues of R$41.5b and earnings per share (EPS) of R$0.64 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.

We'd also point out that thatthe analysts have made no major changes to their price target of R$8.42. 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 Minerva analyst has a price target of R$12.00 per share, while the most pessimistic values it at R$6.30. This is a fairly broad spread of estimates, suggesting that analysts are forecasting a wide range of possible outcomes for the 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. The analysts are definitely expecting Minerva's growth to accelerate, with the forecast 31% annualised growth to the end of 2025 ranking favourably alongside historical growth of 11% per annum over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 5.7% per year. Factoring in the forecast acceleration in revenue, it's pretty clear that Minerva is expected to grow much faster than its 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. The consensus price target held steady at R$8.42, with the latest estimates not enough to have an impact on their price targets.

At least one of Minerva's ten analysts has provided estimates out to 2026, which can be seen for free on our platform here.

Don't forget that there may still be risks. For instance, we've identified 3 warning signs for Minerva (1 shouldn't be ignored) 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.