Analysts Are Updating Their Bouygues SA (EPA:EN) Estimates After Its Second-Quarter Results

Shareholders might have noticed that Bouygues SA (EPA:EN) filed its second-quarter result this time last week. The early response was not positive, with shares down 5.2% to €36.20 in the past week. It was an okay result overall, with revenues coming in at €14b, roughly what the analysts had been expecting. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. So we gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.

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Following last week's earnings report, Bouygues' seven analysts are forecasting 2025 revenues to be €57.8b, approximately in line with the last 12 months. Statutory per-share earnings are expected to be €2.87, roughly flat on the last 12 months. Before this earnings report, the analysts had been forecasting revenues of €57.9b and earnings per share (EPS) of €2.77 in 2025. So the consensus seems to have become somewhat more optimistic on Bouygues' earnings potential following these results.

See our latest analysis for Bouygues

There's been no major changes to the consensus price target of €40.19, suggesting that the improved earnings per share outlook is not enough to have a long-term positive impact on the stock's valuation. That's not the only conclusion we can draw from this data however, as some investors also like to consider the spread in estimates when evaluating analyst price targets. Currently, the most bullish analyst values Bouygues at €52.00 per share, while the most bearish prices it at €35.00. 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.

Taking a look at the bigger picture now, one of the ways we can understand these forecasts is to see how they compare to both past performance and industry growth estimates. It's pretty clear that there is an expectation that Bouygues' revenue growth will slow down substantially, with revenues to the end of 2025 expected to display 2.4% growth on an annualised basis. This is compared to a historical growth rate of 13% over the past five years. Compare this against other companies (with analyst forecasts) in the industry, which are in aggregate expected to see revenue growth of 3.9% annually. Factoring in the forecast slowdown in growth, it seems obvious that Bouygues is also expected to grow slower than other industry participants.

The Bottom Line

The biggest takeaway for us is the consensus earnings per share upgrade, which suggests a clear improvement in sentiment around Bouygues' earnings potential 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. The consensus price target held steady at €40.19, with the latest estimates not enough to have an impact on their price targets.

With that in mind, we wouldn't be too quick to come to a conclusion on Bouygues. Long-term earnings power is much more important than next year's profits. We have forecasts for Bouygues going out to 2027, and you can see them free on our platform here.

You still need to take note of risks, for example - Bouygues 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.