eQ Oyj Just Recorded A 5.4% Revenue Beat: Here's What Analysts Think

As you might know, eQ Oyj (HEL:EQV1V) recently reported its quarterly numbers. Results overall were respectable, with statutory earnings of €0.18 per share roughly in line with what the analyst had forecast. Revenues of €18m came in 5.4% ahead of analyst predictions. The analyst 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. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analyst has changed their mind on eQ Oyj after the latest results.

Check out our latest analysis for eQ Oyj

Taking into account the latest results, eQ Oyj's sole analyst currently expect revenues in 2024 to be €69.7m, approximately in line with the last 12 months. Statutory per share are forecast to be €0.73, approximately in line with the last 12 months. In the lead-up to this report, the analyst had been modelling revenues of €68.8m and earnings per share (EPS) of €0.74 in 2024. So it's pretty clear that, although the analyst has updated their estimates, there's been no major change in expectations for the business following the latest results.

The consensus price target fell 6.7% to €14.00, suggesting that the analyst might have been a bit enthusiastic in their previous valuation - or they were expecting the company to provide stronger guidance in the quarterly results.

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 would highlight that revenue is expected to reverse, with a forecast 1.2% annualised decline to the end of 2024. That is a notable change from historical growth of 8.3% over the last five years. By contrast, our data suggests that other companies (with analyst coverage) in the same industry are forecast to see their revenue grow 4.3% annually for the foreseeable future. It's pretty clear that eQ Oyj's revenues are expected to perform substantially worse than the wider industry.

The Bottom Line

The most obvious conclusion is that there's been no major change in the business' prospects in recent times, with the analyst holding their earnings forecasts steady, in line with previous estimates. Fortunately, the analyst also reconfirmed their revenue estimates, suggesting that it's tracking in line with expectations. Although our data does suggest that eQ Oyj's revenue is expected to perform worse than the wider industry. Furthermore, the analyst also cut their price targets, suggesting that the latest news has led to greater pessimism about the intrinsic value of the business.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have analyst estimates for eQ Oyj going out as far as 2026, and you can see them free on our platform here.

You still need to take note of risks, for example - eQ Oyj has 1 warning sign we think 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.