Analyst Estimates: Here's What Brokers Think Of Pirelli & C. S.p.A. (BIT:PIRC) After Its First-Quarter Report

It's been a good week for Pirelli & C. S.p.A. (BIT:PIRC) shareholders, because the company has just released its latest first-quarter results, and the shares gained 2.1% to €5.92. Results were roughly in line with estimates, with revenues of €1.8b and statutory earnings per share of €0.47. The analysts 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. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.

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Taking into account the latest results, the 13 analysts covering Pirelli & C provided consensus estimates of €6.89b revenue in 2025, which would reflect a small 3.4% decline over the past 12 months. Statutory earnings per share are predicted to increase 4.7% to €0.52. In the lead-up to this report, the analysts had been modelling revenues of €6.87b and earnings per share (EPS) of €0.52 in 2025. The consensus analysts don't seem to have seen anything in these results that would have changed their view on the business, given there's been no major change to their estimates.

See our latest analysis for Pirelli & C

The analysts reconfirmed their price target of €6.73, showing that the business is executing well and in line with expectations. 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. The most optimistic Pirelli & C analyst has a price target of €7.20 per share, while the most pessimistic values it at €5.20. Even so, with a relatively close grouping of estimates, it looks like the analysts are quite confident in their valuations, suggesting Pirelli & C is an easy business to forecast or the the analysts are all using similar assumptions.

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. These estimates imply that revenue is expected to slow, with a forecast annualised decline of 4.4% by the end of 2025. This indicates a significant reduction from annual growth of 9.3% over the last five years. By contrast, our data suggests that other companies (with analyst coverage) in the same industry are forecast to see their revenue grow 2.3% annually for the foreseeable future. It's pretty clear that Pirelli & C's revenues are expected to perform substantially worse than the wider industry.

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. On the plus side, there were no major changes to revenue estimates; although forecasts imply they will perform worse than the wider industry. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.

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 Pirelli & C 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 1 warning sign for Pirelli & C 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.