Nilfisk Holding A/S (CPH:NLFSK) Just Reported First-Quarter Earnings: Have Analysts Changed Their Mind On The Stock?

It's been a good week for Nilfisk Holding A/S (CPH:NLFSK) shareholders, because the company has just released its latest quarterly results, and the shares gained 4.4% to kr.88.10. Results were roughly in line with estimates, with revenues of €257m and statutory earnings per share of €1.31. 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. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year.

Our free stock report includes 1 warning sign investors should be aware of before investing in Nilfisk Holding. Read for free now.

Taking into account the latest results, Nilfisk Holding's three analysts currently expect revenues in 2025 to be €1.04b, approximately in line with the last 12 months. Statutory earnings per share are expected to decrease 8.7% to €0.96 in the same period. In the lead-up to this report, the analysts had been modelling revenues of €1.04b and earnings per share (EPS) of €1.41 in 2025. The analysts seem to have become more bearish following the latest results. While there were no changes to revenue forecasts, there was a large cut to EPS estimates.

Check out our latest analysis for Nilfisk Holding

It might be a surprise to learn that the consensus price target was broadly unchanged at kr.155, with the analysts clearly implying that the forecast decline in earnings is not expected to have much of an impact on valuation. 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. The most optimistic Nilfisk Holding analyst has a price target of kr.185 per share, while the most pessimistic values it at kr.135. We would probably assign less value to the analyst forecasts in this situation, because such a wide range of estimates could imply that the future of this business is difficult to value accurately. With this in mind, we wouldn't rely too heavily the consensus price target, as it is just an average and analysts clearly have some deeply divergent views on the business.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Nilfisk Holding's past performance and to peers in the same industry. It's pretty clear that there is an expectation that Nilfisk Holding's revenue growth will slow down substantially, with revenues to the end of 2025 expected to display 2.0% growth on an annualised basis. This is compared to a historical growth rate of 4.0% 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 4.8% annually. So it's pretty clear that, while revenue growth is expected to slow down, the wider industry is also expected to grow faster than Nilfisk Holding.

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. The consensus price target held steady at kr.155, 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 estimates - from multiple Nilfisk Holding analysts - going out to 2027, and you can see them free on our platform here.

Don't forget that there may still be risks. For instance, we've identified 1 warning sign for Nilfisk Holding that 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.