The Guillemot Corporation S.A. (EPA:GUI) Analysts Have Been Trimming Their Sales Forecasts

The latest analyst coverage could presage a bad day for Guillemot Corporation S.A. (EPA:GUI), with the analysts making across-the-board cuts to their statutory estimates that might leave shareholders a little shell-shocked. There was a fairly draconian cut to their revenue estimates, perhaps an implicit admission that previous forecasts were much too optimistic.

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Following the downgrade, the consensus from two analysts covering Guillemot is for revenues of €113m in 2025, implying a definite 9.9% decline in sales compared to the last 12 months. After this downgrade, the company is anticipated to report a loss of €0.013 in 2025, a sharp decline from a profit over the last year. Prior to this update, the analysts had been forecasting revenues of €133m and earnings per share (EPS) of €0.35 in 2025. So we can see that the consensus has become notably more bearish on Guillemot's outlook with these numbers, making a substantial drop in this year's revenue estimates. Furthermore, they expect the business to be loss-making this year, compared to their previous forecasts of a profit.

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The consensus price target fell 21% to €5.95, implicitly signalling that lower earnings per share are a leading indicator for Guillemot's valuation.

Of course, another way to look at these forecasts is to place them into context against the industry itself. These estimates imply that sales are expected to slow, with a forecast annualised revenue decline of 9.9% by the end of 2025. This indicates a significant reduction from annual growth of 6.3% 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 4.6% per year. It's pretty clear that Guillemot's revenues are expected to perform substantially worse than the wider industry.

The Bottom Line

The most important thing to take away is that analysts are expecting Guillemot to become unprofitable this year. Regrettably, they also downgraded their revenue estimates, and the latest forecasts imply the business will grow sales slower than the wider market. The consensus price target fell measurably, with analysts seemingly not reassured by recent business developments, leading to a lower estimate of Guillemot's future valuation. Overall, given the drastic downgrade to this year's forecasts, we'd be feeling a little more wary of Guillemot going forwards.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have analyst estimates for Guillemot going out as far as 2027, and you can see them free on our platform here.

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