Analysts Are Updating Their Scout24 SE (ETR:G24) Estimates After Its First-Quarter Results

It's been a good week for Scout24 SE (ETR:G24) shareholders, because the company has just released its latest first-quarter results, and the shares gained 3.3% to €108. It was a workmanlike result, with revenues of €158m coming in 2.7% ahead of expectations, and statutory earnings per share of €2.22, in line with analyst appraisals. Following the result, the analysts have updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. So we gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.

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After the latest results, the 15 analysts covering Scout24 are now predicting revenues of €640.1m in 2025. If met, this would reflect an okay 4.9% improvement in revenue compared to the last 12 months. Per-share earnings are expected to bounce 29% to €3.07. In the lead-up to this report, the analysts had been modelling revenues of €637.8m and earnings per share (EPS) of €3.05 in 2025. 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.

See our latest analysis for Scout24

There were no changes to revenue or earnings estimates or the price target of €105, suggesting that the company has met expectations in its recent result. 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. There are some variant perceptions on Scout24, with the most bullish analyst valuing it at €123 and the most bearish at €81.00 per share. There are definitely some different views on the stock, but the range of estimates is not wide enough as to imply that the situation is unforecastable, in our view.

Taking a look at the bigger picture now, one of the ways we can understand these forecasts is to see how they compare to both past performance and industry growth estimates. It's pretty clear that there is an expectation that Scout24's revenue growth will slow down substantially, with revenues to the end of 2025 expected to display 6.6% growth on an annualised basis. This is compared to a historical growth rate of 11% over the past five years. Compare this against other companies (with analyst forecasts) in the industry, which are in aggregate expected to see revenue growth of 9.3% annually. Factoring in the forecast slowdown in growth, it seems obvious that Scout24 is also expected to grow slower than other industry participants.

The Bottom Line

The most important thing to take away is that there's been no major change in sentiment, with the analysts reconfirming that the business is performing in line with their previous earnings per share estimates. On the plus side, there were no major changes to revenue estimates; although forecasts imply they will perform worse than the wider industry. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.

With that in mind, we wouldn't be too quick to come to a conclusion on Scout24. Long-term earnings power is much more important than next year's profits. We have forecasts for Scout24 going out to 2027, and you can see them free on our platform here.

It might also be worth considering whether Scout24's debt load is appropriate, using our debt analysis tools on the Simply Wall St 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.