Revenue Miss: Taaleri Oyj Fell 9.4% Short Of Analyst Revenue Estimates And Analysts Have Been Revising Their Models

Taaleri Oyj (HEL:TAALA) just released its latest full-year report and things are not looking great. Results look to have been somewhat negative - revenue fell 9.4% short of analyst estimates at €61m, and statutory earnings of €0.46 per share missed forecasts by 2.1%. Following the result, the analyst has updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. So we collected the latest post-earnings statutory consensus estimate to see what could be in store for next year.

Check out our latest analysis for Taaleri Oyj

Taking into account the latest results, the current consensus from Taaleri Oyj's one analyst is for revenues of €77.6m in 2021, which would reflect a substantial 27% increase on its sales over the past 12 months. Per-share earnings are expected to bounce 160% to €0.67. Before this earnings report, the analyst had been forecasting revenues of €76.9m and earnings per share (EPS) of €0.68 in 2021. 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.

With the analyst reconfirming their revenue and earnings forecasts, it's surprising to see that the price target rose 7.8% to €8.63. It looks as though they previously had some doubts over whether the business would live up to their expectations.

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. One thing stands out from these estimates, which is that Taaleri Oyj is forecast to grow faster in the future than it has in the past, with revenues expected to grow 27%. If achieved, this would be a much better result than the 15% annual decline over the past year. Compare this against analyst estimates for the wider industry, which suggest that (in aggregate) industry revenues are expected to grow 9.7% next year. Not only are Taaleri Oyj's revenues expected to improve, it seems that the analyst is also expecting it to grow faster 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. Happily, there were no major changes to revenue forecasts, with the business still expected to grow faster than the wider industry. There was also a nice increase in the price target, with the analyst clearly feeling that the intrinsic value of the business is improving.

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. We have analyst estimates for Taaleri Oyj going out as far as 2023, and you can see them free on our platform here.

However, before you get too enthused, we've discovered 3 warning signs for Taaleri Oyj that you should be aware of.

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This article by Simply Wall St is general in nature. 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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