Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság (BUSE:MTELEKOM) Analysts Are Pretty Bullish On The Stock After Recent Results

Shareholders of Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság (BUSE:MTELEKOM) will be pleased this week, given that the stock price is up 11% to Ft1,596 following its latest full-year results. Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság reported Ft967b in revenue, roughly in line with analyst forecasts, although statutory earnings per share (EPS) of Ft172 beat expectations, being 4.0% higher than what the analysts expected. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. So we gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.

View our latest analysis for Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság

Taking into account the latest results, the consensus forecast from Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's six analysts is for revenues of Ft1.01t in 2025. This reflects a modest 4.1% improvement in revenue compared to the last 12 months. Per-share earnings are expected to expand 16% to Ft202. Before this earnings report, the analysts had been forecasting revenues of Ft1.01t and earnings per share (EPS) of Ft204 in 2025. So it's pretty clear that, although the analysts have updated their estimates, there's been no major change in expectations for the business following the latest results.

With the analysts reconfirming their revenue and earnings forecasts, it's surprising to see that the price target rose 8.2% to Ft1,482. It looks as though they previously had some doubts over whether the business would live up to their expectations. The consensus price target is just an average of individual analyst targets, so - it could be handy to see how wide the range of underlying estimates is. The most optimistic Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság analyst has a price target of Ft2,029 per share, while the most pessimistic values it at Ft377. With such a wide range in price targets, analysts are almost certainly betting on widely divergent outcomes in the underlying business. With this in mind, we wouldn't rely too heavily the consensus price target, as it is just an average and analysts clearly have some deeply divergent views on the 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. It's pretty clear that there is an expectation that Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's revenue growth will slow down substantially, with revenues to the end of 2025 expected to display 4.1% growth on an annualised basis. This is compared to a historical growth rate of 7.9% over the past five years. Juxtapose this against the other companies in the industry with analyst coverage, which are forecast to grow their revenues (in aggregate) 2.6% per year. So it's pretty clear that, while Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság's revenue growth is expected to slow, it's still expected to grow faster than the industry itself.

The Bottom Line

The most obvious conclusion is that there's been no major change in the business' prospects in recent times, with the analysts holding their earnings forecasts steady, in line with previous estimates. Happily, there were no major changes to revenue forecasts, with the business still expected to grow faster than the wider industry. We note an upgrade to the price target, suggesting that the analysts believes the intrinsic value of the business is likely to improve over time.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have estimates - from multiple Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság analysts - going out to 2027, and you can see them free on our platform here.

You still need to take note of risks, for example - Magyar Telekom Távközlési Nyilvánosan Müködö Részvénytársaság has 1 warning sign we think you should be aware of.

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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.