Dassault Aviation société anonyme Recorded A 5.3% Miss On Revenue: Analysts Are Revisiting Their Models

It's been a good week for Dassault Aviation société anonyme (EPA:AM) shareholders, because the company has just released its latest half-yearly results, and the shares gained 3.9% to €175. Revenues came in 5.3% below expectations, at €2.5b. Statutory earnings per share were relatively better off, with a per-share profit of €8.57 being roughly in line with analyst estimates. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analysts have changed their mind on Dassault Aviation société anonyme after the latest results.

Check out our latest analysis for Dassault Aviation société anonyme

Taking into account the latest results, the most recent consensus for Dassault Aviation société anonyme from 13 analysts is for revenues of €6.01b in 2024. If met, it would imply a meaningful 16% increase on its revenue over the past 12 months. Per-share earnings are expected to expand 10% to €11.37. Before this earnings report, the analysts had been forecasting revenues of €6.05b and earnings per share (EPS) of €11.11 in 2024. The analysts seems to have become more bullish on the business, judging by their new earnings per share estimates.

The consensus price target was unchanged at €220, implying that the improved earnings outlook is not expected to have a long term impact on value creation for shareholders. Fixating on a single price target can be unwise though, since the consensus target is effectively the average of analyst price targets. As a result, some investors like to look at the range of estimates to see if there are any diverging opinions on the company's valuation. There are some variant perceptions on Dassault Aviation société anonyme, with the most bullish analyst valuing it at €250 and the most bearish at €190 per share. Even so, with a relatively close grouping of estimates, it looks like the analysts are quite confident in their valuations, suggesting Dassault Aviation société anonyme is an easy business to forecast or the the analysts are all using similar assumptions.

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. For example, we noticed that Dassault Aviation société anonyme's rate of growth is expected to accelerate meaningfully, with revenues forecast to exhibit 34% growth to the end of 2024 on an annualised basis. That is well above its historical decline of 3.8% a year over the past five years. Compare this against analyst estimates for the broader industry, which suggest that (in aggregate) industry revenues are expected to grow 9.9% annually. So it looks like Dassault Aviation société anonyme is expected to grow faster than its competitors, at least for a while.

The Bottom Line

The most important thing here is that the analysts upgraded their earnings per share estimates, suggesting that there has been a clear increase in optimism towards Dassault Aviation société anonyme following these results. Happily, there were no major changes to revenue forecasts, with the business still expected to grow faster than the wider industry. The consensus price target held steady at €220, with the latest estimates not enough to have an impact on their price targets.

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 Dassault Aviation société anonyme going out to 2026, and you can see them free on our platform here..

Don't forget that there may still be risks. For instance, we've identified 2 warning signs for Dassault Aviation société anonyme 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.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com