Young & Co.'s Brewery, P.L.C. (LON:YNGA) Half-Yearly Results Just Came Out: Here's What Analysts Are Forecasting For This Year

Investors in Young & Co.'s Brewery, P.L.C. (LON:YNGA) had a good week, as its shares rose 7.1% to close at UK£9.60 following the release of its half-yearly results. Young's Brewery reported in line with analyst predictions, delivering revenues of UK£250m and statutory earnings per share of UK£0.19, suggesting the business is executing well and in line with its plan. 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 thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.

See our latest analysis for Young's Brewery

Following the latest results, Young's Brewery's five analysts are now forecasting revenues of UK£485.0m in 2025. This would be a decent 9.7% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to jump 166% to UK£0.59. In the lead-up to this report, the analysts had been modelling revenues of UK£484.6m and earnings per share (EPS) of UK£0.54 in 2025. So the consensus seems to have become somewhat more optimistic on Young's Brewery's earnings potential following these results.

There's been no major changes to the consensus price target of UK£13.74, suggesting that the improved earnings per share outlook is not enough to have a long-term positive impact on the stock's valuation. That's not the only conclusion we can draw from this data however, as some investors also like to consider the spread in estimates when evaluating analyst price targets. There are some variant perceptions on Young's Brewery, with the most bullish analyst valuing it at UK£14.50 and the most bearish at UK£13.00 per share. Still, with such a tight range of estimates, it suggeststhe analysts have a pretty good idea of what they think the company is worth.

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. The analysts are definitely expecting Young's Brewery's growth to accelerate, with the forecast 20% annualised growth to the end of 2025 ranking favourably alongside historical growth of 14% per annum over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 6.2% annually. Factoring in the forecast acceleration in revenue, it's pretty clear that Young's Brewery is expected to grow much faster than its industry.

The Bottom Line

The most important thing here is that the analysts upgraded their earnings per share estimates, suggesting that there has been a clear increase in optimism towards Young's Brewery following these results. Fortunately, they also reconfirmed their revenue numbers, suggesting that it's tracking in line with expectations. Additionally, our data suggests that revenue is expected to grow faster than the wider industry. The consensus price target held steady at UK£13.74, with the latest estimates not enough to have an impact on their price targets.

Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. At Simply Wall St, we have a full range of analyst estimates for Young's Brewery going out to 2027, and you can see them free on our platform here..

You should always think about risks though. Case in point, we've spotted 4 warning signs for Young's Brewery you should be aware of.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

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.