€0.022: That's What Analysts Think Distribuidora Internacional de Alimentación, S.A. (BME:DIA) Is Worth After Its Latest Results

Shareholders might have noticed that Distribuidora Internacional de Alimentación, S.A. (BME:DIA) filed its interim result this time last week. The early response was not positive, with shares down 2.3% to €0.013 in the past week. Results were overall in line with expectations, with the company breaking even at the statutory earnings per share (EPS) level on €2.8b in revenue. 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. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year.

View our latest analysis for Distribuidora Internacional de Alimentación

Taking into account the latest results, the dual analysts covering Distribuidora Internacional de Alimentación provided consensus estimates of €5.46b revenue in 2024, which would reflect a measurable 7.4% decline over the past 12 months. In the lead-up to this report, the analysts had been modelling revenues of €5.55b and earnings per share (EPS) of €0.02 in 2024. The analysts seem to have become more bearish following the latest results. While there were no changes to revenue forecasts, there was a EPS estimates.

Intriguingly,the analysts have cut their price target 22% to €0.022 showing a clear decline in sentiment around Distribuidora Internacional de Alimentación's valuation.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Distribuidora Internacional de Alimentación's past performance and to peers in the same industry. One more thing stood out to us about these estimates, and it's the idea that Distribuidora Internacional de Alimentación's decline is expected to accelerate, with revenues forecast to fall at an annualised rate of 14% to the end of 2024. This tops off a historical decline of 4.3% a year 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 revenue grow 4.4% per year. So while a broad number of companies are forecast to grow, unfortunately Distribuidora Internacional de Alimentación is expected to see its revenue affected worse than other companies in the 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. The consensus price target fell measurably, with the analysts seemingly not reassured by the latest results, leading to a lower estimate of Distribuidora Internacional de Alimentación's future valuation.

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 analyst estimates for Distribuidora Internacional de Alimentación going out as far as 2026, and you can see them free on our platform here.

Plus, you should also learn about the 1 warning sign we've spotted with Distribuidora Internacional de Alimentación .

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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.

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