EXEL Industries SA (EPA:EXE) Just Reported Earnings, And Analysts Cut Their Target Price

Investors in EXEL Industries SA (EPA:EXE) had a good week, as its shares rose 9.9% to close at €37.60 following the release of its half-yearly results. It was a credible result overall, with revenues of €443m and statutory earnings per share of €4.60 both in line with analyst estimates, showing that EXEL Industries is executing in line with expectations. The analysts 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. We've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.

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Following last week's earnings report, EXEL Industries' five analysts are forecasting 2025 revenues to be €1.04b, approximately in line with the last 12 months. In the lead-up to this report, the analysts had been modelling revenues of €1.04b and earnings per share (EPS) of €4.90 in 2025. Overall, while the analysts have reconfirmed their revenue estimates, the consensus now no longer provides an EPS estimate. This implies that the market believes revenue is more important after these latest results.

Check out our latest analysis for EXEL Industries

Intriguingly,the analysts have cut their price target 9.3% to €44.24 showing a clear decline in sentiment around EXEL Industries' valuation. 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. The most optimistic EXEL Industries analyst has a price target of €58.00 per share, while the most pessimistic values it at €39.00. Analysts definitely have varying views on the business, but the spread of estimates is not wide enough in our view to suggest that extreme outcomes could await EXEL Industries shareholders.

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. These estimates imply that revenue is expected to slow, with a forecast annualised decline of 1.8% by the end of 2025. This indicates a significant reduction from annual growth of 8.5% over the last five years. Compare this with our data, which suggests that other companies in the same industry are, in aggregate, expected to see their revenue grow 5.4% per year. It's pretty clear that EXEL Industries' revenues are expected to perform substantially worse than the wider industry.

The Bottom Line

The most important thing to take away is that the analysts reconfirmed their revenue estimates for next year, suggesting that the business is performing in line with expectations. Fortunately, the analysts also reconfirmed their revenue estimates, suggesting that it's tracking in line with expectations. Although our data does suggest that EXEL Industries' revenue is expected to perform worse than the wider industry. The consensus price target fell measurably, with the analysts seemingly not reassured by the latest results, leading to a lower estimate of EXEL Industries' future valuation.

We have estimates for EXEL Industries from its five analysts out to 2027, 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 EXEL Industries 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.