Analysts Are Updating Their Yokogawa Bridge Holdings Corp. (TSE:5911) Estimates After Its First-Quarter Results

The quarterly results for Yokogawa Bridge Holdings Corp. (TSE:5911) were released last week, making it a good time to revisit its performance. It was a credible result overall, with revenues of JP¥36b and statutory earnings per share of JP¥291 both in line with analyst estimates, showing that Yokogawa Bridge Holdings is executing in line with expectations. 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.

View our latest analysis for Yokogawa Bridge Holdings

Taking into account the latest results, the most recent consensus for Yokogawa Bridge Holdings from twin analysts is for revenues of JP¥168.1b in 2025. If met, it would imply a modest 5.1% increase on its revenue over the past 12 months. Per-share earnings are expected to grow 16% to JP¥293. Before this earnings report, the analysts had been forecasting revenues of JP¥167.3b and earnings per share (EPS) of JP¥309 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.

It might be a surprise to learn that the consensus price target was broadly unchanged at JP¥3,090, with the analysts clearly implying that the forecast decline in earnings is not expected to have much of an impact on valuation.

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 Yokogawa Bridge Holdings' growth to accelerate, with the forecast 6.8% annualised growth to the end of 2025 ranking favourably alongside historical growth of 4.9% per annum over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 2.5% annually. Factoring in the forecast acceleration in revenue, it's pretty clear that Yokogawa Bridge Holdings is expected to grow much faster than its industry.

The Bottom Line

The biggest concern is that the analysts reduced their earnings per share estimates, suggesting business headwinds could lay ahead for Yokogawa Bridge Holdings. 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 JP¥3,090, 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 Yokogawa Bridge Holdings. Long-term earnings power is much more important than next year's profits. At least one analyst has provided forecasts out to 2027, which can be seen for free on our platform here.

However, before you get too enthused, we've discovered 1 warning sign for Yokogawa Bridge Holdings that 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.

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