Peel Hunt Limited (LON:PEEL) Just Reported, And Analysts Assigned A UK£1.10 Price Target

Investors in Peel Hunt Limited (LON:PEEL) had a good week, as its shares rose 3.5% to close at UK£0.90 following the release of its yearly results. Revenues of UK£89m arrived in line with expectations, although statutory losses per share were UK£0.023, an impressive 36% smaller than what broker models predicted. The analyst typically update their forecasts at each earnings report, and we can judge from their estimates whether their view of the company has changed or if there are any new concerns to be aware of. We've gathered the most recent statutory forecasts to see whether the analyst has changed their earnings models, following these results.

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Taking into account the latest results, the current consensus from Peel Hunt's lone analyst is for revenues of UK£99.8m in 2026. This would reflect a meaningful 12% increase on its revenue over the past 12 months. Earnings are expected to improve, with Peel Hunt forecast to report a statutory profit of UK£0.025 per share. In the lead-up to this report, the analyst had been modelling revenues of UK£97.0m and earnings per share (EPS) of UK£0.028 in 2026. While next year's revenue estimates increased, there was also a substantial drop in EPS expectations, suggesting the consensus has a bit of a mixed view of these results.

See our latest analysis for Peel Hunt

The consensus price target fell 19% to UK£1.10, suggesting that the analyst are primarily focused on earnings as the driver of value for this business.

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. For example, we noticed that Peel Hunt's rate of growth is expected to accelerate meaningfully, with revenues forecast to exhibit 12% growth to the end of 2026 on an annualised basis. That is well above its historical decline of 16% a year over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in the industry are forecast to see their revenue grow 2.2% per year. Not only are Peel Hunt's revenues expected to improve, it seems that the analyst is also expecting it to grow faster than the wider industry.

The Bottom Line

The biggest concern is that the analyst reduced their earnings per share estimates, suggesting business headwinds could lay ahead for Peel Hunt. Pleasantly, they also upgraded their revenue estimates, and their forecasts suggest the business is expected to grow faster than the wider industry. Furthermore, the analyst also cut their price targets, suggesting that the latest news has led to greater pessimism about the intrinsic value of the business.

Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. We have analyst estimates for Peel Hunt going out as far as 2028, and you can see them free on our platform here.

You can also see our analysis of Peel Hunt's Board and CEO remuneration and experience, and whether company insiders have been buying stock.

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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.