AS Tallinna Sadam Earnings Missed Analyst Estimates: Here's What Analysts Are Forecasting Now

It's been a good week for AS Tallinna Sadam (TAL:TSM1T) shareholders, because the company has just released its latest yearly results, and the shares gained 3.6% to €1.15. Statutory earnings per share of €0.06 unfortunately missed expectations by 12%, although it was encouraging to see revenues of €119m exceed expectations by 2.3%. 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've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.

See our latest analysis for AS Tallinna Sadam

Taking into account the latest results, the consensus forecast from AS Tallinna Sadam's twin analysts is for revenues of €122.4m in 2024. This reflects a reasonable 3.0% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to surge 25% to €0.076. In the lead-up to this report, the analysts had been modelling revenues of €121.3m and earnings per share (EPS) of €0.072 in 2024. The analysts seems to have become more bullish on the business, judging by their new earnings per share estimates.

The average the analysts price target fell 23% to €1.15, suggesting thatthe analysts have other concerns, and the improved earnings per share outlook was not enough to allay them.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the AS Tallinna Sadam's past performance and to peers in the same industry. One thing stands out from these estimates, which is that AS Tallinna Sadam is forecast to grow faster in the future than it has in the past, with revenues expected to display 3.0% annualised growth until the end of 2024. If achieved, this would be a much better result than the 1.9% annual decline over the past five years. Compare this against analyst estimates for the broader industry, which suggest that (in aggregate) industry revenues are expected to grow 3.2% annually. So while AS Tallinna Sadam's revenues are expected to improve, it seems that it is expected to grow at about the same rate as the overall industry.

The Bottom Line

The biggest takeaway for us is the consensus earnings per share upgrade, which suggests a clear improvement in sentiment around AS Tallinna Sadam's earnings potential next year. 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 fell measurably, with the analysts seemingly not reassured by the latest results, leading to a lower estimate of AS Tallinna Sadam's future valuation.

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. At least one analyst has provided forecasts out to 2026, which can be seen for free on our platform here.

Don't forget that there may still be risks. For instance, we've identified 2 warning signs for AS Tallinna Sadam 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.