Vontobel Holding AG (VTX:VONN) Released Earnings Last Week And Analysts Lifted Their Price Target To CHF62.33

Investors in Vontobel Holding AG (VTX:VONN) had a good week, as its shares rose 3.5% to close at CHF67.10 following the release of its yearly results. Results were roughly in line with estimates, with revenues of CHF1.4b and statutory earnings per share of CHF4.67. 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. 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 Vontobel Holding

Following last week's earnings report, Vontobel Holding's three analysts are forecasting 2025 revenues to be CHF1.42b, approximately in line with the last 12 months. Per-share earnings are expected to rise 2.6% to CHF4.90. In the lead-up to this report, the analysts had been modelling revenues of CHF1.42b and earnings per share (EPS) of CHF5.14 in 2025. The analysts seem to have become a little more negative on the business after the latest results, given the small dip in their earnings per share numbers for next year.

Despite cutting their earnings forecasts,the analysts have lifted their price target 8.3% to CHF62.33, suggesting that these impacts are not expected to weigh on the stock's value in the long term. 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. There are some variant perceptions on Vontobel Holding, with the most bullish analyst valuing it at CHF70.00 and the most bearish at CHF56.00 per share. With such a narrow range of valuations, the analysts apparently share similar views on what they think the business is worth.

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. We would highlight that revenue is expected to reverse, with a forecast 0.3% annualised decline to the end of 2025. That is a notable change from historical growth of 0.8% 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 5.4% annually for the foreseeable future. So although its revenues are forecast to shrink, this cloud does not come with a silver lining - Vontobel Holding is expected to lag 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. Fortunately, the analysts also reconfirmed their revenue estimates, suggesting that it's tracking in line with expectations. Although our data does suggest that Vontobel Holding's revenue is expected to perform worse than the wider industry. There was also a nice increase in the price target, with the analysts clearly feeling that the intrinsic value of the business is improving.

With that in mind, we wouldn't be too quick to come to a conclusion on Vontobel Holding. Long-term earnings power is much more important than next year's profits. We have estimates - from multiple Vontobel Holding analysts - going out to 2027, and you can see them free on our platform here.

You can also see our analysis of Vontobel Holding's Board and CEO remuneration and experience, and whether company insiders have been buying stock.

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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.