Analysts Have Been Trimming Their Nilfisk Holding A/S (CPH:NLFSK) Price Target After Its Latest Report

Shareholders might have noticed that Nilfisk Holding A/S (CPH:NLFSK) filed its third-quarter result this time last week. The early response was not positive, with shares down 3.4% to kr.108 in the past week. Revenues came in 4.9% below expectations, at €241m. Statutory earnings per share were relatively better off, with a per-share profit of €1.30 being roughly in line with analyst estimates. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. We've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.

Check out our latest analysis for Nilfisk Holding

Taking into account the latest results, the current consensus from Nilfisk Holding's three analysts is for revenues of €1.07b in 2025. This would reflect a reasonable 4.1% increase on its revenue over the past 12 months. Statutory earnings per share are predicted to surge 54% to €2.08. Yet prior to the latest earnings, the analysts had been anticipated revenues of €1.09b and earnings per share (EPS) of €2.21 in 2025. So it looks like there's been a small decline in overall sentiment after the recent results - there's been no major change to revenue estimates, but the analysts did make a minor downgrade to their earnings per share forecasts.

The average price target fell 6.2% to kr.177, with reduced earnings forecasts clearly tied to a lower valuation estimate. 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 Nilfisk Holding analyst has a price target of kr.200 per share, while the most pessimistic values it at kr.160. So we wouldn't be assigning too much credibility to analyst price targets in this case, because there are clearly some widely different views on what kind of performance this business can generate. As a result it might not be a great idea to make decisions based on the consensus price target, which is after all just an average of this wide range of estimates.

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. The period to the end of 2025 brings more of the same, according to the analysts, with revenue forecast to display 3.3% growth on an annualised basis. That is in line with its 3.6% 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 4.7% per year. So it's pretty clear that Nilfisk Holding is expected to grow slower than similar companies in the same industry.

The Bottom Line

The most important thing to take away is that the analysts downgraded their earnings per share estimates, showing that there has been a clear decline in sentiment following these results. On the plus side, there were no major changes to revenue estimates; although forecasts imply they will perform worse than the wider industry. Furthermore, the analysts also cut their price targets, suggesting that the latest news has led to greater pessimism about the intrinsic value of the business.

With that in mind, we wouldn't be too quick to come to a conclusion on Nilfisk Holding. Long-term earnings power is much more important than next year's profits. At Simply Wall St, we have a full range of analyst estimates for Nilfisk Holding going out to 2026, and you can see them free on our platform here..

Before you take the next step you should know about the 2 warning signs for Nilfisk Holding that we have uncovered.

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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.