Here's What Analysts Are Forecasting For Grupo Comercial Chedraui, S.A.B. de C.V. (BMV:CHDRAUIB) After Its Yearly Results

It's been a good week for Grupo Comercial Chedraui, S.A.B. de C.V. (BMV:CHDRAUIB) shareholders, because the company has just released its latest yearly results, and the shares gained 6.2% to Mex$132. The result was positive overall - although revenues of Mex$263b were in line with what the analysts predicted, Grupo Comercial Chedraui. de surprised by delivering a statutory profit of Mex$7.97 per share, modestly greater than expected. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.

View our latest analysis for Grupo Comercial Chedraui. de

Taking into account the latest results, the current consensus from Grupo Comercial Chedraui. de's five analysts is for revenues of Mex$282.0b in 2024. This would reflect a credible 7.2% increase on its revenue over the past 12 months. Per-share earnings are expected to increase 7.6% to Mex$8.85. Before this earnings report, the analysts had been forecasting revenues of Mex$286.8b and earnings per share (EPS) of Mex$8.45 in 2024. So the consensus seems to have become somewhat more optimistic on Grupo Comercial Chedraui. de's earnings potential following these results.

The consensus price target was unchanged at Mex$134, implying that the improved earnings outlook is not expected to have a long term impact on value creation for shareholders. 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 Grupo Comercial Chedraui. de analyst has a price target of Mex$160 per share, while the most pessimistic values it at Mex$113. Analysts definitely have varying views on the business, but the spread of estimates is not wide enough in our view to suggest that extreme outcomes could await Grupo Comercial Chedraui. de shareholders.

Of course, another way to look at these forecasts is to place them into context against the industry itself. It's pretty clear that there is an expectation that Grupo Comercial Chedraui. de's revenue growth will slow down substantially, with revenues to the end of 2024 expected to display 7.2% growth on an annualised basis. This is compared to a historical growth rate of 19% over the past five years. Juxtapose this against the other companies in the industry with analyst coverage, which are forecast to grow their revenues (in aggregate) 7.6% annually. Factoring in the forecast slowdown in growth, it looks like Grupo Comercial Chedraui. de is forecast to grow at about the same rate as the wider industry.

The Bottom Line

The most important thing here is that the analysts upgraded their earnings per share estimates, suggesting that there has been a clear increase in optimism towards Grupo Comercial Chedraui. de following these results. 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.

Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. At Simply Wall St, we have a full range of analyst estimates for Grupo Comercial Chedraui. de going out to 2026, and you can see them free on our platform here..

Another thing to consider is whether management and directors have been buying or selling stock recently. We provide an overview of all open market stock trades for the last twelve months on our platform, here.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

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.