What Does The Future Hold For Compagnie des Alpes SA (EPA:CDA)? These Analysts Have Been Cutting Their Estimates

One thing we could say about the analysts on Compagnie des Alpes SA (EPA:CDA) - they aren't optimistic, having just made a major negative revision to their near-term (statutory) forecasts for the organization. Revenue estimates were cut sharply as analysts signalled a weaker outlook - perhaps a sign that investors should temper their expectations as well.

Following the latest downgrade, the six analysts covering Compagnie des Alpes provided consensus estimates of €269m revenue in 2021, which would reflect a disturbing 56% decline on its sales over the past 12 months. Prior to the latest estimates, the analysts were forecasting revenues of €369m in 2021. It looks like forecasts have become a fair bit less optimistic on Compagnie des Alpes, given the sizeable cut to revenue estimates.

View our latest analysis for Compagnie des Alpes

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Compagnie des Alpes' past performance and to peers in the same industry. These estimates imply that sales are expected to slow, with a forecast annualised revenue decline of 56% by the end of 2021. This indicates a significant reduction from annual growth of 2.0% 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 11% per year. So although its revenues are forecast to shrink, this cloud does not come with a silver lining - Compagnie des Alpes is expected to lag the wider industry.

The Bottom Line

The most important thing to take away is that analysts cut their revenue estimates for this year. They also expect company revenue to perform worse than the wider market. Overall, given the drastic downgrade to this year's forecasts, we'd be feeling a little more wary of Compagnie des Alpes going forwards.

Of course, there's always more to the story. At least one of Compagnie des Alpes' six analysts has provided estimates out to 2023, which can be seen for free on our platform here.

Of course, seeing company management invest large sums of money in a stock can be just as useful as knowing whether analysts are downgrading their estimates. So you may also wish to search this free list of stocks that insiders are buying.

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