ALK-Abelló A/S (CPH:ALK B) Just Reported And Analysts Have Been Lifting Their Price Targets

It's been a pretty great week for ALK-Abelló A/S (CPH:ALK B) shareholders, with its shares surging 15% to kr.230 in the week since its latest quarterly results. Results overall were respectable, with statutory earnings of kr.3.70 per share roughly in line with what the analysts had forecast. Revenues of kr.1.5b came in 3.2% ahead of analyst predictions. The analysts typically update their forecasts at each earnings report, and we can judge from their estimates whether their view of the company has changed or if there are any new concerns to be aware of. We've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.

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Following the latest results, ALK-Abelló's three analysts are now forecasting revenues of kr.7.09b in 2026. This would be a decent 17% improvement in revenue compared to the last 12 months. Per-share earnings are expected to shoot up 25% to kr.6.23. Before this earnings report, the analysts had been forecasting revenues of kr.7.06b and earnings per share (EPS) of kr.6.02 in 2026. The analysts seems to have become more bullish on the business, judging by their new earnings per share estimates.

Check out our latest analysis for ALK-Abelló

The consensus price target rose 12% to kr.219, suggesting that higher earnings estimates flow through to the stock's valuation as well. There's another way to think about price targets though, and that's to look at the range of price targets put forward by analysts, because a wide range of estimates could suggest a diverse view on possible outcomes for the business. There are some variant perceptions on ALK-Abelló, with the most bullish analyst valuing it at kr.243 and the most bearish at kr.185 per share. With such a narrow range of valuations, the analysts apparently share similar views on what they think the business is worth.

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. We can infer from the latest estimates that forecasts expect a continuation of ALK-Abelló'shistorical trends, as the 13% annualised revenue growth to the end of 2026 is roughly in line with the 11% annual growth over the past five years. Compare this with the broader industry, which analyst estimates (in aggregate) suggest will see revenues grow 5.0% annually. So although ALK-Abelló is expected to maintain its revenue growth rate, it's definitely expected to grow faster than the wider industry.

The Bottom Line

The biggest takeaway for us is the consensus earnings per share upgrade, which suggests a clear improvement in sentiment around ALK-Abelló's earnings potential next year. Happily, there were no major changes to revenue forecasts, with the business still expected to grow faster than the wider industry. There was also a nice increase in the price target, with the analysts clearly feeling that the intrinsic value of the business is improving.

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 ALK-Abelló analysts - going out to 2027, and you can see them free on our platform here.

You can also see our analysis of ALK-Abelló'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.