Stock Analysis

Ströer SE & Co. KGaA (ETR:SAX) Just Released Its Yearly Results And Analysts Are Updating Their Estimates

XTRA:SAX
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Last week saw the newest yearly earnings release from Ströer SE & Co. KGaA (ETR:SAX), an important milestone in the company's journey to build a stronger business. It was an okay report, and revenues came in at €2.0b, approximately in line with analyst estimates leading up to the results announcement. 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. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.

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XTRA:SAX Earnings and Revenue Growth March 27th 2025

Taking into account the latest results, the most recent consensus for Ströer SE KGaA from ten analysts is for revenues of €2.21b in 2025. If met, it would imply a reasonable 7.9% increase on its revenue over the past 12 months. Statutory earnings per share are predicted to shoot up 44% to €3.38. Before this earnings report, the analysts had been forecasting revenues of €2.21b and earnings per share (EPS) of €3.42 in 2025. The consensus analysts don't seem to have seen anything in these results that would have changed their view on the business, given there's been no major change to their estimates.

View our latest analysis for Ströer SE KGaA

The analysts reconfirmed their price target of €71.59, showing that the business is executing well and in line with expectations. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. Currently, the most bullish analyst values Ströer SE KGaA at €100.00 per share, while the most bearish prices it at €55.00. Note the wide gap in analyst price targets? This implies to us that there is a fairly broad range of possible scenarios for the underlying business.

Of course, another way to look at these forecasts is to place them into context against the industry itself. We can infer from the latest estimates that forecasts expect a continuation of Ströer SE KGaA'shistorical trends, as the 7.9% annualised revenue growth to the end of 2025 is roughly in line with the 7.2% annual growth over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to see their revenues grow 4.1% per year. So although Ströer SE KGaA is expected to maintain its revenue growth rate, it's definitely expected to grow faster than the wider industry.

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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. Happily, there were no major changes to revenue forecasts, with the business still expected to grow faster than the wider industry. The consensus price target held steady at €71.59, 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. We have estimates - from multiple Ströer SE KGaA analysts - going out to 2027, and you can see them free on our platform here.

It is also worth noting that we have found 2 warning signs for Ströer SE KGaA that you need to take into consideration.

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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.