New Forecasts: Here's What Analysts Think The Future Holds For BFF Bank S.p.A. (BIT:BFF)

BFF Bank S.p.A. (BIT:BFF) shareholders will have a reason to smile today, with the analysts making substantial upgrades to this year's forecasts. The consensus estimated revenue numbers rose, with their view now clearly much more bullish on the company's business prospects. The stock price has risen 5.1% to €6.97 over the past week, suggesting investors are becoming more optimistic. Whether the upgrade is enough to drive the stock price higher is yet to be seen, however.

Following the upgrade, the most recent consensus for BFF Bank from its four analysts is for revenues of €358m in 2021 which, if met, would be a sizeable 26% increase on its sales over the past 12 months. Prior to the latest estimates, the analysts were forecasting revenues of €325m in 2021. It looks like there's been a clear increase in optimism around BFF Bank, given the nice gain to revenue forecasts.

Check out our latest analysis for BFF Bank

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. The analysts are definitely expecting BFF Bank's growth to accelerate, with the forecast 59% annualised growth to the end of 2021 ranking favourably alongside historical growth of 6.9% per annum over the past five years. Compare this with other companies in the same industry, which are forecast to see a revenue decline of 98% annually. It seems obvious that as part of the brighter growth outlook, BFF Bank is expected to grow faster than the wider industry.

The Bottom Line

The most important thing to take away from this upgrade is that analysts lifted their revenue estimates for this year. The analysts also expect revenues to perform better than the wider market. Seeing the dramatic upgrade to this year's forecasts, it might be time to take another look at BFF Bank.

Analysts are clearly in love with BFF Bank at the moment, but before diving in - you should be aware that we've identified some warning flags with the business, such as dilutive stock issuance over the past year. You can learn more, and discover the 3 other risks we've identified, for free on our platform here.

Another way to search for interesting companies that could be reaching an inflection point is to track whether management are buying or selling, with our free list of growing companies that insiders are buying.

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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.