MONETA Money Bank, a.s. (SEP:MONET) Just Released Its Yearly Results And Analysts Are Updating Their Estimates

Investors in MONETA Money Bank, a.s. (SEP:MONET) had a good week, as its shares rose 4.0% to close at Kč102 following the release of its yearly results. Results look mixed - while revenue fell marginally short of analyst estimates at Kč12b, statutory earnings beat expectations 4.2%, with MONETA Money Bank reporting profits of Kč10.20 per share. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.

View our latest analysis for MONETA Money Bank

After the latest results, the seven analysts covering MONETA Money Bank are now predicting revenues of Kč12.4b in 2024. If met, this would reflect an okay 4.9% improvement in revenue compared to the last 12 months. Statutory earnings per share are forecast to dip 4.1% to Kč9.76 in the same period. In the lead-up to this report, the analysts had been modelling revenues of Kč12.7b and earnings per share (EPS) of Kč9.53 in 2024. If anything, the analysts look to have become slightly more optimistic overall; while they decreased their revenue forecasts, EPS predictions increased and ultimately earnings are more important.

The consensus has made no major changes to the price target of Kč102, suggesting the forecast improvement in earnings is expected to offset the decline in revenues next year. 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 MONETA Money Bank analyst has a price target of Kč117 per share, while the most pessimistic values it at Kč90.10. With such a narrow range of valuations, the analysts apparently share similar views on what they think the business is worth.

Another way we can view these estimates is in the context of the bigger picture, such as how the forecasts stack up against past performance, and whether forecasts are more or less bullish relative to other companies in the industry. We would highlight that MONETA Money Bank's revenue growth is expected to slow, with the forecast 4.9% annualised growth rate until the end of 2024 being well below the historical 6.3% p.a. growth over the last five years. Juxtapose this against the other companies in the industry with analyst coverage, which are forecast to grow their revenues (in aggregate) 2.2% per year. Even after the forecast slowdown in growth, it seems obvious that MONETA Money Bank is also expected to grow faster than the wider industry.

The Bottom Line

The biggest takeaway for us is the consensus earnings per share upgrade, which suggests a clear improvement in sentiment around MONETA Money Bank's earnings potential next year. They also downgraded MONETA Money Bank's revenue estimates, but industry data suggests that it is expected to grow faster than the wider industry. Even so, earnings are more important to the intrinsic value of the business. The consensus price target held steady at Kč102, with the latest estimates not enough to have an impact on their price targets.

Following on from that line of thought, we think that the long-term prospects of the business are much more relevant than next year's earnings. At Simply Wall St, we have a full range of analyst estimates for MONETA Money Bank going out to 2026, and you can see them free on our platform here..

You should always think about risks though. Case in point, we've spotted 1 warning sign for MONETA Money Bank you should be aware of.

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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.