Analysts Have Made A Financial Statement On Rai Way S.p.A.'s (BIT:RWAY) Third-Quarter Report

Last week saw the newest quarterly earnings release from Rai Way S.p.A. (BIT:RWAY), an important milestone in the company's journey to build a stronger business. Results were roughly in line with estimates, with revenues of €69m and statutory earnings per share of €0.32. 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. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analysts have changed their mind on Rai Way after the latest results.

See our latest analysis for Rai Way

After the latest results, the four analysts covering Rai Way are now predicting revenues of €285.6m in 2025. If met, this would reflect an okay 4.1% improvement in revenue compared to the last 12 months. Statutory earnings per share are forecast to shrink 2.1% to €0.32 in the same period. Before this earnings report, the analysts had been forecasting revenues of €285.9m and earnings per share (EPS) of €0.32 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.

There were no changes to revenue or earnings estimates or the price target of €7.10, suggesting that the company has met expectations in its recent result. 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. The most optimistic Rai Way analyst has a price target of €7.60 per share, while the most pessimistic values it at €6.60. With such a narrow range of valuations, the analysts apparently share similar views on what they think the business is worth.

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. It's pretty clear that there is an expectation that Rai Way's revenue growth will slow down substantially, with revenues to the end of 2025 expected to display 3.3% growth on an annualised basis. This is compared to a historical growth rate of 5.1% over the past five years. Compare this to the 7 other companies in this industry with analyst coverage, which are forecast to grow their revenue at 3.1% per year. So it's pretty clear that, while Rai Way'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 to take away is that there's been no major change in sentiment, with the analysts reconfirming that the business is performing in line with their previous earnings per share estimates. Happily, there were no real changes to revenue forecasts, with the business still expected to grow in line with the overall 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.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. At Simply Wall St, we have a full range of analyst estimates for Rai Way going out to 2026, and you can see them free on our platform here..

Don't forget that there may still be risks. For instance, we've identified 2 warning signs for Rai Way (1 is concerning) 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.