Stock Analysis

InPost S.A. Just Missed EPS By 20%: Here's What Analysts Think Will Happen Next

ENXTAM:INPST
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Investors in InPost S.A. (AMS:INPST) had a good week, as its shares rose 7.4% to close at €5.61 following the release of its annual results. It was not a great result overall. While revenues of zł4.6b were in line with analyst predictions, earnings were less than expected, missing statutory estimates by 20% to hit zł0.98 per share. 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. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.

View our latest analysis for InPost

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ENXTAM:INPST Earnings and Revenue Growth April 4th 2022

After the latest results, the ten analysts covering InPost are now predicting revenues of zł6.88b in 2022. If met, this would reflect a substantial 50% improvement in sales compared to the last 12 months. Statutory earnings per share are predicted to grow 11% to zł1.09. Yet prior to the latest earnings, the analysts had been anticipated revenues of zł6.83b and earnings per share (EPS) of zł1.75 in 2022. So there's definitely been a decline in sentiment after the latest results, noting the pretty serious reduction to new EPS forecasts.

The consensus price target held steady at €14.05, with the analysts seemingly voting that their lower forecast earnings are not expected to lead to a lower stock price in the foreseeable future. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. Currently, the most bullish analyst values InPost at €20.35 per share, while the most bearish prices it at €5.74. 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.

The Bottom Line

The most important thing to take away is that the analysts downgraded their earnings per share estimates, showing that there has been a clear decline in sentiment following these results. Happily, there were no major changes to revenue forecasts, with the business still 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 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 InPost going out to 2024, and you can see them free on our platform here..

You still need to take note of risks, for example - InPost has 3 warning signs we think 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.