Stock Analysis

Salvatore Ferragamo S.p.A. (BIT:SFER) Just Released Its Annual Earnings: Here's What Analysts Think

BIT:SFER
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There's been a major selloff in Salvatore Ferragamo S.p.A. (BIT:SFER) shares in the week since it released its full-year report, with the stock down 22% to €6.32. It was an okay report, and revenues came in at €1.0b, approximately in line with analyst estimates leading up to the results announcement. 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. We've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.

See our latest analysis for Salvatore Ferragamo

earnings-and-revenue-growth
BIT:SFER Earnings and Revenue Growth March 9th 2025

After the latest results, the twelve analysts covering Salvatore Ferragamo are now predicting revenues of €1.07b in 2025. If met, this would reflect a satisfactory 3.3% improvement in revenue compared to the last 12 months. Yet prior to the latest earnings, the analysts had been anticipated revenues of €1.07b and earnings per share (EPS) of €0.074 in 2025. So we can see that while the consensus made no real change to its revenue estimates, it also no longer provides an earnings per share estimate. This suggests that revenues are what the market is focusing on after the latest results.

There's been no real change to the consensus price target of €6.59, with Salvatore Ferragamo seemingly executing 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. Currently, the most bullish analyst values Salvatore Ferragamo at €8.00 per share, while the most bearish prices it at €4.90. These price targets show that analysts do have some differing views on the business, but the estimates do not vary enough to suggest to us that some are betting on wild success or utter failure.

Of course, another way to look at these forecasts is to place them into context against the industry itself. It's clear from the latest estimates that Salvatore Ferragamo's rate of growth is expected to accelerate meaningfully, with the forecast 3.3% annualised revenue growth to the end of 2025 noticeably faster than its historical growth of 0.4% p.a. over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 8.2% per year. So it's clear that despite the acceleration in growth, Salvatore Ferragamo is expected to grow meaningfully slower than the industry average.

The Bottom Line

The most important thing to take away is that the analysts reconfirmed their revenue estimates for next year, suggesting that the business is performing in line with expectations. 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.

We have estimates for Salvatore Ferragamo from its twelve analysts 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 Salvatore Ferragamo 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.

About BIT:SFER

Salvatore Ferragamo

Through its subsidiaries, creates, produces, and sells luxury goods for men and women in Europe, North America, Japan, the Asia Pacific, and Central and South America.

Good value with reasonable growth potential.