Industry Analysts Just Made A Notable Upgrade To Their Swiss Life Holding AG (VTX:SLHN) Revenue Forecasts

Swiss Life Holding AG (VTX:SLHN) shareholders will have a reason to smile today, with the analysts making substantial upgrades to this year's statutory forecasts. The consensus estimated revenue numbers rose, with their view now clearly much more bullish on the company's business prospects.

Following the upgrade, the most recent consensus for Swiss Life Holding from its six analysts is for revenues of CHF21b in 2024 which, if met, would be a major 85% increase on its sales over the past 12 months. Per-share earnings are expected to rise 8.7% to CHF42.01. Previously, the analysts had been modelling revenues of CHF17b and earnings per share (EPS) of CHF40.55 in 2024. The forecasts seem more optimistic now, with a solid increase in revenue and a small increase to earnings per share estimates.

See our latest analysis for Swiss Life Holding

Despite these upgrades, the analysts have not made any major changes to their price target of CHF645, suggesting that the higher estimates are not likely to have a long term impact on what the stock 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. For example, we noticed that Swiss Life Holding's rate of growth is expected to accelerate meaningfully, with revenues forecast to exhibit 85% growth to the end of 2024 on an annualised basis. That is well above its historical decline of 9.9% a year over the past five years. What's also interesting is that our data suggests that other companies (with analyst coverage) in a similar industry are forecast to see their revenue decline 0.3% annually for the foreseeable future. So although Swiss Life Holding is expected to return to growth, it's also expected to grow revenues during a time when the wider industry is estimated to see revenue decline.

The Bottom Line

The biggest takeaway for us from these new estimates is that analysts upgraded their earnings per share estimates, with improved earnings power expected for this year. On the plus side, they also lifted their revenue estimates, and the company is expected to perform better than the wider market. Seeing the dramatic upgrade to this year's forecasts, it might be time to take another look at Swiss Life Holding.

Even so, the longer term trajectory of the business is much more important for the value creation of shareholders. At Simply Wall St, we have a full range of analyst estimates for Swiss Life Holding going out to 2026, and you can see them free on our platform here..

Of course, seeing company management invest large sums of money in a stock can be just as useful as knowing whether analysts are upgrading their estimates. So you may also wish to search this free list of stocks with high insider ownership.

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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