L'Air Liquide S.A. (EPA:AI) Full-Year Results Just Came Out: Here's What Analysts Are Forecasting For This Year

Last week saw the newest yearly earnings release from L'Air Liquide S.A. (EPA:AI), an important milestone in the company's journey to build a stronger business. Revenues of €27b were in line with forecasts, although statutory earnings per share (EPS) came in below expectations at €5.74, missing estimates by 4.2%. 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.

Check out our latest analysis for L'Air Liquide

Following the latest results, L'Air Liquide's 19 analysts are now forecasting revenues of €28.5b in 2025. This would be a credible 5.4% improvement in revenue compared to the last 12 months. Per-share earnings are expected to grow 18% to €6.76. Yet prior to the latest earnings, the analysts had been anticipated revenues of €28.5b and earnings per share (EPS) of €6.70 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.

There were no changes to revenue or earnings estimates or the price target of €194, suggesting that the company has met expectations in its recent result. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. There are some variant perceptions on L'Air Liquide, with the most bullish analyst valuing it at €220 and the most bearish at €154 per share. There are definitely some different views on the stock, but the range of estimates is not wide enough as to imply that the situation is unforecastable, in our view.

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. We would highlight that L'Air Liquide's revenue growth is expected to slow, with the forecast 5.4% annualised growth rate until the end of 2025 being well below the historical 7.2% p.a. growth over the last five years. Compare this to the 15 other companies in this industry with analyst coverage, which are forecast to grow their revenue at 5.3% per year. Factoring in the forecast slowdown in growth, it looks like L'Air Liquide is forecast to grow at about the same rate as the wider industry.

The Bottom Line

The most important thing to take away is that there's been no major change in sentiment, with the analysts reconfirming that the business is performing in line with their previous earnings per share estimates. They also reconfirmed their revenue estimates, with the company predicted to grow at about the same rate as the wider industry. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.

Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. We have estimates - from multiple L'Air Liquide analysts - going out to 2027, and you can see them free on our platform here.

You can also see whether L'Air Liquide is carrying too much debt, and whether its balance sheet is healthy, 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.