The Prosegur Compañía de Seguridad, S.A. (BME:PSG) Half-Year Results Are Out And Analysts Have Published New Forecasts

It's been a mediocre week for Prosegur Compañía de Seguridad, S.A. (BME:PSG) shareholders, with the stock dropping 13% to €2.60 in the week since its latest half-year results. Results were roughly in line with estimates, with revenues of €2.5b and statutory earnings per share of €0.15. 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. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year.

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Taking into account the latest results, the consensus forecast from Prosegur Compañía de Seguridad's eight analysts is for revenues of €5.19b in 2025. This reflects a satisfactory 3.2% improvement in revenue compared to the last 12 months. Per-share earnings are expected to rise 9.5% to €0.22. Yet prior to the latest earnings, the analysts had been anticipated revenues of €5.23b and earnings per share (EPS) of €0.23 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 small dip in their earnings per share forecasts.

See our latest analysis for Prosegur Compañía de Seguridad

The consensus price target held steady at €3.15, with the analysts seemingly voting that their lower forecast earnings are not expected to lead to a lower stock price in the foreseeable future. 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. Currently, the most bullish analyst values Prosegur Compañía de Seguridad at €4.00 per share, while the most bearish prices it at €2.00. This is a fairly broad spread of estimates, suggesting that analysts are forecasting a wide range of possible outcomes for the business.

Another way we can view these estimates is in the context of the bigger picture, such as how the forecasts stack up against past performance, and whether forecasts are more or less bullish relative to other companies in the industry. We can infer from the latest estimates that forecasts expect a continuation of Prosegur Compañía de Seguridad'shistorical trends, as the 6.6% annualised revenue growth to the end of 2025 is roughly in line with the 7.3% 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 4.0% per year. So although Prosegur Compañía de Seguridad is expected to maintain its revenue growth rate, it's definitely expected to grow faster than the wider 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. Fortunately, they also reconfirmed their revenue numbers, suggesting that it's tracking in line with expectations. Additionally, our data suggests that revenue is expected to grow faster than the wider industry. The consensus price target held steady at €3.15, with the latest estimates not enough to have an impact on their price targets.

With that in mind, we wouldn't be too quick to come to a conclusion on Prosegur Compañía de Seguridad. 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 Prosegur Compañía de Seguridad going out to 2027, and you can see them free on our platform here..

That said, it's still necessary to consider the ever-present spectre of investment risk. We've identified 3 warning signs with Prosegur Compañía de Seguridad (at least 1 which shouldn't be ignored) , and understanding these should be part of your investment process.

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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.