Chocoladefabriken Lindt & Sprüngli AG Just Beat Analyst Forecasts, And Analysts Have Been Updating Their Predictions

Chocoladefabriken Lindt & Sprüngli AG (VTX:LISN) last week reported its latest interim results, which makes it a good time for investors to dive in and see if the business is performing in line with expectations. It looks like a credible result overall - although revenues of CHF2.2b were in line with what the analysts predicted, Chocoladefabriken Lindt & Sprüngli surprised by delivering a statutory profit of CHF937 per share, a notable 14% above expectations. 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 gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.

Check out our latest analysis for Chocoladefabriken Lindt & Sprüngli

After the latest results, the 14 analysts covering Chocoladefabriken Lindt & Sprüngli are now predicting revenues of CHF5.50b in 2024. If met, this would reflect a satisfactory 2.8% improvement in revenue compared to the last 12 months. Statutory earnings per share are forecast to decrease 5.3% to CHF2,795 in the same period. In the lead-up to this report, the analysts had been modelling revenues of CHF5.50b and earnings per share (EPS) of CHF2,832 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.

It will come as no surprise then, to learn that the consensus price target is largely unchanged at CHF109,773. That's not the only conclusion we can draw from this data however, as some investors also like to consider the spread in estimates when evaluating analyst price targets. The most optimistic Chocoladefabriken Lindt & Sprüngli analyst has a price target of CHF126,000 per share, while the most pessimistic values it at CHF93,000. Analysts definitely have varying views on the business, but the spread of estimates is not wide enough in our view to suggest that extreme outcomes could await Chocoladefabriken Lindt & Sprüngli shareholders.

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 can infer from the latest estimates that forecasts expect a continuation of Chocoladefabriken Lindt & Sprüngli'shistorical trends, as the 5.6% annualised revenue growth to the end of 2024 is roughly in line with the 4.9% annual growth over the past five years. Compare this with the broader industry, which analyst estimates (in aggregate) suggest will see revenues grow 3.8% annually. So it's pretty clear that Chocoladefabriken Lindt & Sprüngli is forecast to grow substantially faster than its 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. Fortunately, they also reconfirmed their revenue numbers, suggesting that it's tracking in line with expectations. Additionally, our data suggests that revenue is expected to grow faster than the wider industry. The consensus price target held steady at CHF109,773, 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. We have estimates - from multiple Chocoladefabriken Lindt & Sprüngli analysts - going out to 2026, and you can see them free on our platform here.

You can also view our analysis of Chocoladefabriken Lindt & Sprüngli's balance sheet, and whether we think Chocoladefabriken Lindt & Sprüngli is carrying too much debt, for free on our platform here.

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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.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com