Linedata Services S.A. (EPA:LIN) Just Released Its Half-Yearly Results And Analysts Are Updating Their Estimates

It's been a pretty great week for Linedata Services S.A. (EPA:LIN) shareholders, with its shares surging 14% to €76.60 in the week since its latest half-yearly results. It was a credible result overall, with revenues of €90m and statutory earnings per share of €5.14 both in line with analyst estimates, showing that Linedata Services is executing in line with expectations. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.

Check out our latest analysis for Linedata Services

Following last week's earnings report, Linedata Services' dual analysts are forecasting 2024 revenues to be €188.8m, approximately in line with the last 12 months. Statutory earnings per share are forecast to shrink 2.7% to €5.41 in the same period. Yet prior to the latest earnings, the analysts had been anticipated revenues of €189.0m and earnings per share (EPS) of €5.39 in 2024. 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 €74.85, suggesting that the company has met expectations in its recent result.

One way to get more context on these forecasts is to look at how they compare to both past performance, and how other companies in the same industry are performing. It's clear from the latest estimates that Linedata Services' rate of growth is expected to accelerate meaningfully, with the forecast 3.6% annualised revenue growth to the end of 2024 noticeably faster than its historical growth of 2.1% p.a. over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 8.9% per year. It seems obvious that, while the future growth outlook is brighter than the recent past, Linedata Services is expected to grow slower than the wider industry.

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. On the plus side, there were no major changes to revenue estimates; although forecasts imply they will perform worse than the wider industry. The consensus price target held steady at €74.85, with the latest estimates not enough to have an impact on their price targets.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. At least one analyst has provided forecasts out to 2026, which can be seen for free on our platform here.

You still need to take note of risks, for example - Linedata Services has 2 warning signs we think you should be aware of.

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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.