América Móvil, S.A.B. de C.V. Earnings Missed Analyst Estimates: Here's What Analysts Are Forecasting Now

Investors in América Móvil, S.A.B. de C.V. (BMV:AMXB) had a good week, as its shares rose 3.5% to close at Mex$15.61 following the release of its quarterly results. It was not a great result overall. Although revenues beat expectations, hitting Mex$203b, statutory earnings missed analyst forecasts by 14%, coming in at just Mex$0.22 per share. 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. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year.

Check out our latest analysis for América Móvil. de

Following last week's earnings report, América Móvil. de's 15 analysts are forecasting 2024 revenues to be Mex$824.6b, approximately in line with the last 12 months. Statutory earnings per share are predicted to leap 45% to Mex$1.39. Before this earnings report, the analysts had been forecasting revenues of Mex$822.5b and earnings per share (EPS) of Mex$1.37 in 2024. 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.

The analysts reconfirmed their price target of Mex$19.25, showing that the business is executing well and in line with expectations. 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. Currently, the most bullish analyst values América Móvil. de at Mex$22.00 per share, while the most bearish prices it at Mex$14.20. As you can see, analysts are not all in agreement on the stock's future, but the range of estimates is still reasonably narrow, which could suggest that the outcome is not totally unpredictable.

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. For example, we noticed that América Móvil. de's rate of growth is expected to accelerate meaningfully, with revenues forecast to exhibit 2.3% growth to the end of 2024 on an annualised basis. That is well above its historical decline of 4.9% a year over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to see their revenue grow 4.7% per year. So although América Móvil. de's revenue growth is expected to improve, it is still expected to grow slower than 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. On the plus side, there were no major changes to revenue estimates; although forecasts imply they will perform worse than the wider industry. The consensus price target held steady at Mex$19.25, 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 América Móvil. de. Long-term earnings power is much more important than next year's profits. At Simply Wall St, we have a full range of analyst estimates for América Móvil. 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 2 warning signs with América Móvil. de , and understanding these 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.