Analyst Estimates: Here's What Brokers Think Of WithSecure Oyj (HEL:WITH) After Its Third-Quarter Report

Investors in WithSecure Oyj (HEL:WITH) had a good week, as its shares rose 2.8% to close at €0.85 following the release of its quarterly results. Revenues were in line with expectations, at €36m, while statutory losses ballooned to €0.10 per share. Following the result, the analysts have 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. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analysts have changed their mind on WithSecure Oyj after the latest results.

Check out our latest analysis for WithSecure Oyj

Following the latest results, WithSecure Oyj's five analysts are now forecasting revenues of €157.6m in 2025. This would be a satisfactory 7.0% improvement in revenue compared to the last 12 months. The loss per share is expected to greatly reduce in the near future, narrowing 94% to €0.011. Yet prior to the latest earnings, the analysts had been forecasting revenues of €157.9m and losses of €0.015 per share in 2025. While the revenue estimates were largely unchanged, sentiment seems to have improved, with the analysts upgrading their numbers and making a very favorable reduction to losses per share in particular.

The average price target held steady at €1.24, seeming to indicate that business is performing in line with expectations. 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. There are some variant perceptions on WithSecure Oyj, with the most bullish analyst valuing it at €1.60 and the most bearish at €1.00 per share. This shows there is still a bit of diversity in estimates, but analysts don't appear to be totally split on the stock as though it might be a success or failure situation.

Of course, another way to look at these forecasts is to place them into context against the industry itself. For example, we noticed that WithSecure Oyj's rate of growth is expected to accelerate meaningfully, with revenues forecast to exhibit 5.6% growth to the end of 2025 on an annualised basis. That is well above its historical decline of 12% 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 14% per year. Although WithSecure Oyj's revenues are expected to improve, it seems that the analysts are still bearish on the business, forecasting it to grow slower than the broader industry.

The Bottom Line

The most important thing to take away is that the analysts reconfirmed their loss per share estimates for next year. On the plus side, there were no major changes to revenue estimates; although forecasts imply they will perform worse than the wider industry. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.

Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. At Simply Wall St, we have a full range of analyst estimates for WithSecure Oyj going out to 2026, and you can see them free on our platform here..

Another thing to consider is whether management and directors have been buying or selling stock recently. We provide an overview of all open market stock trades for the last twelve months on our platform, here.

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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.