New Forecasts: Here's What Analysts Think The Future Holds For AXA SA (EPA:CS)

Shareholders in AXA SA (EPA:CS) may be thrilled to learn that the analysts have just delivered a major upgrade to their near-term forecasts. The consensus estimated revenue numbers rose, with their view now clearly much more bullish on the company's business prospects.

Following the upgrade, the consensus from ten analysts covering AXA is for revenues of €89b in 2023, implying a definite 13% decline in sales compared to the last 12 months. Before the latest update, the analysts were foreseeing €79b of revenue in 2023. It looks like there's been a clear increase in optimism around AXA, given the solid increase in revenue forecasts.

See our latest analysis for AXA

There was no particular change to the consensus price target of €34.17, with AXA's latest outlook seemingly not enough to result in a change of valuation.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the AXA's past performance and to peers in the same industry. Over the past five years, revenues have declined around 2.7% annually. Worse, forecasts are essentially predicting the decline to accelerate, with the estimate for an annualised 24% decline in revenue until the end of 2023. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to see their revenue grow 6.6% per year. So it's pretty clear that, while it does have declining revenues, the analysts also expect AXA to suffer worse than the wider industry.

The Bottom Line

The most important thing to take away from this upgrade is that analysts lifted their revenue estimates for this year. They're also anticipating slower revenue growth than the wider market. Seeing the dramatic upgrade to this year's forecasts, it might be time to take another look at AXA.

Unsatisfied? We have analyst estimates for AXA going out to 2025, and you can see them 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 upgrading their estimates. So you may also wish to search this free list of stocks that insiders are buying.

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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.