€0.33 - That's What Analysts Think Vantiva S.A. (EPA:VANTI) Is Worth After These Results

Investors in Vantiva S.A. (EPA:VANTI) had a good week, as its shares rose 2.1% to close at €0.24 following the release of its annual results. It was an okay result overall, with revenues coming in at €2.8b, roughly what the analysts had been expecting. 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. We've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.

Check out our latest analysis for Vantiva

After the latest results, the consensus from Vantiva's four analysts is for revenues of €2.72b in 2023, which would reflect a perceptible 2.2% decline in sales compared to the last year of performance. Yet prior to the latest earnings, the analysts had been forecasting revenues of €2.72b and losses of €0.08 per share in 2023. Overall, while the analysts have reconfirmed their revenue estimates, the consensus now no longer provides an EPS estimate, suggesting that the market believes revenue is more important after these latest results.

The average price target rose 8.3% to €0.33, with the analysts clearly having become more optimistic about Vantiva'sprospects following these results. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. The most optimistic Vantiva analyst has a price target of €0.40 per share, while the most pessimistic values it at €0.25. As you can see, analysts are not all in agreement on the stock's future, but the range of estimates is still reasonably narrow, which could suggest that the outcome is not totally unpredictable.

Another way we can view these estimates is in the context of the bigger picture, such as how the forecasts stack up against past performance, and whether forecasts are more or less bullish relative to other companies in the industry. We would also point out that the forecast 2.2% annualised revenue decline to the end of 2023 is better than the historical trend, which saw revenues shrink 8.8% annually over the past five years Compare this against analyst estimates for companies in the broader industry, which suggest that revenues (in aggregate) are expected to grow 9.6% annually. So while a broad number of companies are forecast to grow, unfortunately Vantiva is expected to see its sales affected worse than other companies in the industry.

The Bottom Line

The clear take away from these updates is that the analysts made no change to their revenue estimates for next year, with the business apparently performing in line with their models. On the plus side, there were no major changes to revenue estimates; although forecasts imply revenues will perform worse than the wider industry. There was also a nice increase in the price target, with the analysts clearly feeling that the intrinsic value of the business is improving.

At least one of Vantiva's four analysts has provided estimates out to 2025, which can be seen for free on our platform here.

That said, it's still necessary to consider the ever-present spectre of investment risk. We've identified 4 warning signs with Vantiva (at least 2 which are significant) , and understanding them should be part of your investment process.

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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.