The Arnoldo Mondadori Editore S.p.A. (BIT:MN) First-Quarter Results Are Out And Analysts Have Published New Forecasts

It's been a good week for Arnoldo Mondadori Editore S.p.A. (BIT:MN) shareholders, because the company has just released its latest first-quarter results, and the shares gained 2.5% to €2.22. It was a credible result overall, with revenues of €164m and statutory earnings per share of €0.23 both in line with analyst estimates, showing that Arnoldo Mondadori Editore is executing in line with expectations. 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 collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.

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Following the latest results, Arnoldo Mondadori Editore's four analysts are now forecasting revenues of €956.9m in 2025. This would be a satisfactory 2.6% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to ascend 17% to €0.24. In the lead-up to this report, the analysts had been modelling revenues of €957.1m and earnings per share (EPS) of €0.26 in 2025. The analysts seem to have become a little more negative on the business after the latest results, given the minor downgrade to their earnings per share numbers for next year.

View our latest analysis for Arnoldo Mondadori Editore

The consensus price target held steady at €3.12, with the analysts seemingly voting that their lower forecast earnings are not expected to lead to a lower stock price in the foreseeable future. There's another way to think about price targets though, and that's to look at the range of price targets put forward by analysts, because a wide range of estimates could suggest a diverse view on possible outcomes for the business. The most optimistic Arnoldo Mondadori Editore analyst has a price target of €3.40 per share, while the most pessimistic values it at €2.80. The narrow spread of estimates could suggest that the business' future is relatively easy to value, or thatthe analysts have a strong view on its prospects.

Of course, another way to look at these forecasts is to place them into context against the industry itself. We would highlight that Arnoldo Mondadori Editore's revenue growth is expected to slow, with the forecast 3.4% annualised growth rate until the end of 2025 being well below the historical 4.4% p.a. growth over the last five years. By way of comparison, the other companies in this industry with analyst coverage are forecast to grow their revenue at 2.0% annually. So it's pretty clear that, while Arnoldo Mondadori Editore's revenue growth is expected to slow, it's still expected to grow faster than the industry itself.

The Bottom Line

The biggest concern is that the analysts reduced their earnings per share estimates, suggesting business headwinds could lay ahead for Arnoldo Mondadori Editore. Happily, there were no major changes to revenue forecasts, with the business still expected to grow faster than the wider industry. The consensus price target held steady at €3.12, with the latest estimates not enough to have an impact on their price targets.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have forecasts for Arnoldo Mondadori Editore going out to 2027, and you can see them free on our platform here.

You can also see whether Arnoldo Mondadori Editore is carrying too much debt, and whether its balance sheet is healthy, 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.