Results: Nemetschek SE Beat Earnings Expectations And Analysts Now Have New Forecasts

Investors in Nemetschek SE (ETR:NEM) had a good week, as its shares rose 7.6% to close at €89.94 following the release of its yearly results. Nemetschek reported €852m in revenue, roughly in line with analyst forecasts, although statutory earnings per share (EPS) of €1.40 beat expectations, being 6.3% higher than what the analysts expected. 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. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.

Check out our latest analysis for Nemetschek

Following the latest results, Nemetschek's 15 analysts are now forecasting revenues of €945.5m in 2024. This would be a notable 11% improvement in revenue compared to the last 12 months. Per-share earnings are expected to climb 15% to €1.60. In the lead-up to this report, the analysts had been modelling revenues of €943.6m and earnings per share (EPS) of €1.57 in 2024. 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.

The analysts reconfirmed their price target of €84.17, 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. The most optimistic Nemetschek analyst has a price target of €112 per share, while the most pessimistic values it at €54.00. This is a fairly broad spread of estimates, suggesting that analysts are forecasting a wide range of possible outcomes for the business.

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. The period to the end of 2024 brings more of the same, according to the analysts, with revenue forecast to display 11% growth on an annualised basis. That is in line with its 12% annual growth over the past five years. Juxtapose this against our data, which suggests that other companies (with analyst coverage) in the industry are forecast to see their revenues grow 9.4% per year. It's clear that while Nemetschek's revenue growth is expected to continue on its current trajectory, it's only expected to grow in line with the industry itself.

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. They also reconfirmed their revenue estimates, with the company predicted to grow at about the same rate as the wider industry. The consensus price target held steady at €84.17, with the latest estimates not enough to have an impact on their price targets.

Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. We have forecasts for Nemetschek going out to 2026, and you can see them free on our platform here.

You can also see our analysis of Nemetschek's Board and CEO remuneration and experience, and whether company insiders have been buying stock.

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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.