Earnings Update: Infotel SA (EPA:INF) Just Reported Its Annual Results And Analysts Are Updating Their Forecasts

Investors in Infotel SA (EPA:INF) had a good week, as its shares rose 9.4% to close at €43.20 following the release of its yearly results. It was an okay result overall, with revenues coming in at €295m, roughly what the analysts had been expecting. Following the result, the analysts have updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analysts have changed their mind on Infotel after the latest results.

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Taking into account the latest results, the current consensus from Infotel's six analysts is for revenues of €303.0m in 2025. This would reflect an okay 2.8% increase on its revenue over the past 12 months. In the lead-up to this report, the analysts had been modelling revenues of €303.1m and earnings per share (EPS) of €2.68 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.

See our latest analysis for Infotel

There's been no real change to the consensus price target of €46.97, with Infotel seemingly executing in line with expectations. 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 Infotel analyst has a price target of €50.00 per share, while the most pessimistic values it at €45.00. The narrow spread of estimates could suggest that the business' future is relatively easy to value, or thatthe analysts have a strong view on its prospects.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Infotel's past performance and to peers in the same industry. It's pretty clear that there is an expectation that Infotel's revenue growth will slow down substantially, with revenues to the end of 2025 expected to display 2.8% growth on an annualised basis. This is compared to a historical growth rate of 5.8% over the past five years. By way of comparison, the other companies in this industry with analyst coverage are forecast to grow their revenue at 4.0% per year. So it's pretty clear that, while revenue growth is expected to slow down, the wider industry is also expected to grow faster than Infotel.

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 Infotel's revenue is expected to perform worse than the wider industry. The consensus price target held steady at €46.97, with the latest estimates not enough to have an impact on their price targets.

At least one of Infotel's six analysts has provided estimates out to 2026, which can be seen for free on our platform here.

Plus, you should also learn about the 1 warning sign we've spotted with Infotel .

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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.