Earnings Miss: Here's What Partners Group Holding AG (VTX:PGHN) Analysts Are Forecasting For This Year

Partners Group Holding AG (VTX:PGHN) just released its latest annual report and things are not looking great. Results look to have been somewhat negative - revenue fell 6.5% short of analyst estimates at CHF1.9b, and statutory earnings of CHF38.55 per share missed forecasts by 6.8%. 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 gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.

Check out our latest analysis for Partners Group Holding

Taking into account the latest results, the most recent consensus for Partners Group Holding from 13 analysts is for revenues of CHF2.36b in 2024. If met, it would imply a substantial 22% increase on its revenue over the past 12 months. Statutory earnings per share are predicted to step up 19% to CHF45.94. Before this earnings report, the analysts had been forecasting revenues of CHF2.42b and earnings per share (EPS) of CHF47.48 in 2024. It's pretty clear that pessimism has reared its head after the latest results, leading to a weaker revenue outlook and a small dip in earnings per share estimates.

Despite the cuts to forecast earnings, there was no real change to the CHF1,203 price target, showing that the analysts don't think the changes have a meaningful impact on its intrinsic value. The consensus price target is just an average of individual analyst targets, so - it could be handy to see how wide the range of underlying estimates is. The most optimistic Partners Group Holding analyst has a price target of CHF1,360 per share, while the most pessimistic values it at CHF920. These price targets show that analysts do have some differing views on the business, but the estimates do not vary enough to suggest to us that some are betting on wild success or utter failure.

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. The analysts are definitely expecting Partners Group Holding's growth to accelerate, with the forecast 22% annualised growth to the end of 2024 ranking favourably alongside historical growth of 9.8% 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 6.7% per year. It seems obvious that, while the growth outlook is brighter than the recent past, the analysts also expect Partners Group Holding to grow faster than the wider industry.

The Bottom Line

The most important thing to take away is that the analysts downgraded their earnings per share estimates, showing that there has been a clear decline in sentiment following these results. They also downgraded Partners Group Holding's revenue estimates, but industry data suggests that it is expected to grow faster than the wider industry. The consensus price target held steady at CHF1,203, 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 Partners Group Holding going out to 2026, and you can see them free on our platform here..

We don't want to rain on the parade too much, but we did also find 2 warning signs for Partners Group Holding (1 is significant!) that you need to be mindful of.

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.