Analysts Have Been Trimming Their Fondia Oyj (HEL:FONDIA) Price Target After Its Latest Report

As you might know, Fondia Oyj (HEL:FONDIA) recently reported its quarterly numbers. Revenues were €6.7m, with Fondia Oyj reporting some 4.3% below analyst expectations. Earnings are an important time for investors, as they can track a company's performance, look at what the analyst is 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 analyst is expecting for next year.

See our latest analysis for Fondia Oyj

Taking into account the latest results, the current consensus from Fondia Oyj's solitary analyst is for revenues of €27.0m in 2024. This would reflect an okay 2.5% increase on its revenue over the past 12 months. Before this earnings report, the analyst had been forecasting revenues of €28.3m and earnings per share (EPS) of €0.47 in 2024. Overall, while there's been a minor downgrade to revenue estimates, the consensus now no longer provides an EPS estimate. This implies that the market believes revenue is more important following the latest results.

Intriguingly,the analyst has cut their price target 6.7% to €7.00 showing a clear decline in sentiment around Fondia Oyj's valuation.

One way to get more context on these forecasts is to look at how they compare to both past performance, and how other companies in the same industry are performing. We can infer from the latest estimates that forecasts expect a continuation of Fondia Oyj'shistorical trends, as the 5.1% annualised revenue growth to the end of 2024 is roughly in line with the 5.3% annual growth over the past five years. Compare this with the broader industry, which analyst estimates (in aggregate) suggest will see revenues grow 5.2% annually. So although Fondia Oyj is expected to maintain its revenue growth rate, it's only growing at about the rate of the wider industry.

The Bottom Line

The most important thing to take away is that the analyst downgraded their revenue estimates for next year. They also downgraded their revenue estimates, although as we saw earlier, forecast growth is only expected to be about the same as the wider industry. The consensus price target fell measurably, with the analyst seemingly not reassured by the latest results, leading to a lower estimate of Fondia Oyj's future valuation.

One Fondia Oyj broker/analyst has provided estimates 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 3 warning signs for Fondia Oyj 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.