Need To Know: Analysts Are Much More Bullish On Enel Américas S.A. (SNSE:ENELAM) Revenues

Enel Américas S.A. (SNSE:ENELAM) shareholders will have a reason to smile today, with the analysts making substantial upgrades to this year's 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 Enel Américas from its seven analysts is for revenues of US$17b in 2022 which, if met, would be a solid 11% increase on its sales over the past 12 months. Prior to the latest estimates, the analysts were forecasting revenues of US$16b in 2022. It looks like there's been a clear increase in optimism around Enel Américas, given the nice increase in revenue forecasts.

Check out our latest analysis for Enel Américas

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. It's clear from the latest estimates that Enel Américas' rate of growth is expected to accelerate meaningfully, with the forecast 15% annualised revenue growth to the end of 2022 noticeably faster than its historical growth of 10% p.a. over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in the same industry are forecast to see their revenue shrink 0.5% per year. It seems obvious that as part of the brighter growth outlook, Enel Américas is expected to grow faster than the wider industry.

The Bottom Line

The most important thing to take away from this upgrade is that analysts lifted their revenue estimates for this year. They're also forecasting for revenues to perform better than companies in the wider market. Seeing the dramatic upgrade to this year's forecasts, it might be time to take another look at Enel Américas.

Better yet, our automated discounted cash flow calculation (DCF) suggests Enel Américas could be moderately undervalued. For more information, you can click through to our platform to learn more about our valuation approach.

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 that insiders are buying.

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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.