The LU-VE S.p.A. (BIT:LUVE) Annual Results Are Out And Analysts Have Published New Forecasts

Last week, you might have seen that LU-VE S.p.A. (BIT:LUVE) released its annual result to the market. The early response was not positive, with shares down 2.1% to €30.20 in the past week. It was an okay report, and revenues came in at €589m, approximately in line with analyst estimates leading up to the results announcement. 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. So we gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.

See our latest analysis for LU-VE

Taking into account the latest results, the consensus forecast from LU-VE's three analysts is for revenues of €618.9m in 2025. This reflects a modest 5.1% improvement in revenue compared to the last 12 months. Per-share earnings are expected to step up 13% to €1.75. In the lead-up to this report, the analysts had been modelling revenues of €620.5m and earnings per share (EPS) of €1.67 in 2025. So the consensus seems to have become somewhat more optimistic on LU-VE's earnings potential following these results.

There's been no major changes to the consensus price target of €33.25, suggesting that the improved earnings per share outlook is not enough to have a long-term positive impact on the stock's valuation. Fixating on a single price target can be unwise though, since the consensus target is effectively the average of analyst price targets. As a result, some investors like to look at the range of estimates to see if there are any diverging opinions on the company's valuation. There are some variant perceptions on LU-VE, with the most bullish analyst valuing it at €37.00 and the most bearish at €31.25 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.

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. We would highlight that LU-VE's revenue growth is expected to slow, with the forecast 5.1% annualised growth rate until the end of 2025 being well below the historical 10% p.a. growth over the last five years. Juxtapose this against the other companies in the industry with analyst coverage, which are forecast to grow their revenues (in aggregate) 5.7% annually. So it's pretty clear that, while LU-VE's revenue growth is expected to slow, it's expected to grow roughly in line with the 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 LU-VE following these results. They also reconfirmed their revenue estimates, with the company predicted to grow at about the same rate as the wider industry. The consensus price target held steady at €33.25, with the latest estimates not enough to have an impact on their price targets.

With that in mind, we wouldn't be too quick to come to a conclusion on LU-VE. Long-term earnings power is much more important than next year's profits. At Simply Wall St, we have a full range of analyst estimates for LU-VE going out to 2027, and you can see them free on our platform here..

You can also view our analysis of LU-VE's balance sheet, and whether we think LU-VE is carrying too much debt, for free on our platform here.

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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.