Need To Know: Analysts Are Much More Bullish On NewRiver REIT plc (LON:NRR) Revenues

NewRiver REIT plc (LON:NRR) shareholders will have a reason to smile today, with the analysts making substantial upgrades to this year's forecasts. The revenue forecast for this year has experienced a facelift, with analysts now much more optimistic on its sales pipeline.

Following the latest upgrade, the current consensus, from the two analysts covering NewRiver REIT, is for revenues of UK£62m in 2023, which would reflect a definite 17% reduction in NewRiver REIT's sales over the past 12 months. Prior to the latest estimates, the analysts were forecasting revenues of UK£51m in 2023. It looks like there's been a clear increase in optimism around NewRiver REIT, given the very substantial lift in revenue forecasts.

View our latest analysis for NewRiver REIT

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. One more thing stood out to us about these estimates, and it's the idea that NewRiver REIT's decline is expected to accelerate, with revenues forecast to fall at an annualised rate of 17% to the end of 2023. This tops off a historical decline of 4.2% a year over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to see their revenue grow 5.2% per year. So it's pretty clear that, while it does have declining revenues, the analysts also expect NewRiver REIT to suffer worse than the wider industry.

The Bottom Line

The highlight for us was that analysts increased their revenue forecasts for NewRiver REIT this year. They also expect company revenue to perform worse than the wider market. Seeing the dramatic upgrade to this year's forecasts, it might be time to take another look at NewRiver REIT.

Hungry for more information? We have analyst estimates for NewRiver REIT going out to 2025, and you can see them free on our platform here.

Of course, seeing company management invest large sums of money in a stock can be just as useful as knowing whether analysts are upgrading their estimates. So you may also wish to search this free list of stocks that insiders are buying.

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.