Results: Bolsa Mexicana de Valores, S.A.B. de C.V. Exceeded Expectations And The Consensus Has Updated Its Estimates

The quarterly results for Bolsa Mexicana de Valores, S.A.B. de C.V. (BMV:BOLSAA) were released last week, making it a good time to revisit its performance. Bolsa Mexicana de Valores. de missed revenue estimates by 2.6%, coming in atMex$967m, although statutory earnings per share (EPS) of Mex$0.66 beat expectations, coming in 5.8% ahead of analyst estimates. 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've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.

See our latest analysis for Bolsa Mexicana de Valores. de

After the latest results, the eight analysts covering Bolsa Mexicana de Valores. de are now predicting revenues of Mex$4.11b in 2024. If met, this would reflect a reasonable 6.4% improvement in revenue compared to the last 12 months. Per-share earnings are expected to increase 9.1% to Mex$2.82. Before this earnings report, the analysts had been forecasting revenues of Mex$4.07b and earnings per share (EPS) of Mex$2.76 in 2024. The analysts seems to have become more bullish on the business, judging by their new earnings per share estimates.

The consensus price target was unchanged at Mex$39.60, implying that the improved earnings outlook is not expected to have a long term impact on value creation for shareholders. The consensus price target is just an average of individual analyst targets, so - it could be handy to see how wide the range of underlying estimates is. The most optimistic Bolsa Mexicana de Valores. de analyst has a price target of Mex$47.00 per share, while the most pessimistic values it at Mex$36.00. 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.

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. It's clear from the latest estimates that Bolsa Mexicana de Valores. de's rate of growth is expected to accelerate meaningfully, with the forecast 8.6% annualised revenue growth to the end of 2024 noticeably faster than its historical growth of 2.8% p.a. over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 3.2% annually. Factoring in the forecast acceleration in revenue, it's pretty clear that Bolsa Mexicana de Valores. de is expected to grow much faster than its 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 Bolsa Mexicana de Valores. de following these results. Fortunately, they also reconfirmed their revenue numbers, suggesting that it's tracking in line with expectations. Additionally, our data suggests that revenue is expected to grow faster than the wider 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 in mind, we wouldn't be too quick to come to a conclusion on Bolsa Mexicana de Valores. de. Long-term earnings power is much more important than next year's profits. We have forecasts for Bolsa Mexicana de Valores. de going out to 2026, and you can see them free on our platform here.

That said, it's still necessary to consider the ever-present spectre of investment risk. We've identified 1 warning sign with Bolsa Mexicana de Valores. de , and understanding it should be part of your investment process.

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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.