Analysts Have Made A Financial Statement On Legrand SA's (EPA:LR) Annual Report

Last week saw the newest annual earnings release from Legrand SA (EPA:LR), an important milestone in the company's journey to build a stronger business. The result was positive overall - although revenues of €8.6b were in line with what the analysts predicted, Legrand surprised by delivering a statutory profit of €4.42 per share, modestly greater than expected. 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. 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 the latest results, Legrand's 16 analysts are now forecasting revenues of €9.35b in 2025. This would be a meaningful 8.1% improvement in revenue compared to the last 12 months. Per-share earnings are expected to increase 6.2% to €4.73. In the lead-up to this report, the analysts had been modelling revenues of €9.38b and earnings per share (EPS) of €4.78 in 2025. The consensus analysts don't seem to have seen anything in these results that would have changed their view on the business, given there's been no major change to their estimates.

See our latest analysis for Legrand

The analysts reconfirmed their price target of €110, showing that the business is executing well and in line with expectations. The consensus price target is just an average of individual analyst targets, so - it could be handy to see how wide the range of underlying estimates is. The most optimistic Legrand analyst has a price target of €126 per share, while the most pessimistic values it at €82.00. These price targets show that analysts do have some differing views on the business, but the estimates do not vary enough to suggest to us that some are betting on wild success or utter failure.

Looking at the bigger picture now, one of the ways we can make sense of these forecasts is to see how they measure up against both past performance and industry growth estimates. The period to the end of 2025 brings more of the same, according to the analysts, with revenue forecast to display 8.1% growth on an annualised basis. That is in line with its 7.5% annual growth over the past five years. Juxtapose this against our data, which suggests that other companies (with analyst coverage) in the industry are forecast to see their revenues grow 6.7% per year. It's clear that while Legrand's revenue growth is expected to continue on its current trajectory, it's only expected to grow in line with the industry itself.

The Bottom Line

The most obvious conclusion is that there's been no major change in the business' prospects in recent times, with the analysts holding their earnings forecasts steady, in line with previous estimates. Happily, there were no real changes to revenue forecasts, with the business still expected to grow in line with the overall industry. The consensus price target held steady at €110, with the latest estimates not enough to have an impact on their price targets.

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. At Simply Wall St, we have a full range of analyst estimates for Legrand going out to 2027, and you can see them free on our platform here. .

You can also view our analysis of Legrand's balance sheet, and whether we think Legrand is carrying too much debt, for free 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.