Revenue Beat: Wiz Co Participações e Corretagem de Seguros S.A. Beat Analyst Estimates By 28%

Wiz Co Participações e Corretagem de Seguros S.A. (BVMF:WIZC3) just released its yearly report and things are looking bullish. Revenue of R$1.1b beat expectations by 28% and statutory earnings per share (EPS) of R$0.89 exceeded forecasts by 14%. 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. We've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.

See our latest analysis for Wiz Co Participações e Corretagem de Seguros

After the latest results, the consensus from Wiz Co Participações e Corretagem de Seguros' two analysts is for revenues of R$913.0m in 2024, which would reflect an uncomfortable 19% decline in revenue compared to the last year of performance. Per-share earnings are expected to ascend 12% to R$0.99. In the lead-up to this report, the analysts had been modelling revenues of R$907.5m and earnings per share (EPS) of R$0.99 in 2024. 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.

The analysts reconfirmed their price target of R$9.67, showing that the business is executing well and in line with expectations.

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. We would highlight that revenue is expected to reverse, with a forecast 19% annualised decline to the end of 2024. That is a notable change from historical growth of 11% over the last five years. By contrast, our data suggests that other companies (with analyst coverage) in the same industry are forecast to see their revenue grow 7.0% annually for the foreseeable future. So although its revenues are forecast to shrink, this cloud does not come with a silver lining - Wiz Co Participações e Corretagem de Seguros is expected to lag the wider industry.

The Bottom Line

The most obvious conclusion is that there's been no major change in the business' prospects in recent times, with the analysts holding their earnings forecasts steady, in line with previous estimates. On the plus side, there were no major changes to revenue estimates; although forecasts imply they will perform worse 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.

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 Wiz Co Participações e Corretagem de Seguros going out as far as 2025, and you can see them free on our platform here.

You still need to take note of risks, for example - Wiz Co Participações e Corretagem de Seguros 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.