New Forecasts: Here's What One Analyst Thinks The Future Holds For Instabank ASA (OB:INSTA)

Instabank ASA (OB:INSTA) shareholders will have a reason to smile today, with the covering analyst making substantial upgrades to next year's statutory forecasts. The analyst has sharply increased their revenue numbers, with a view that Instabank will make substantially more sales than they'd previously expected.

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Following the upgrade, the latest consensus from Instabank's lone analyst is for revenues of kr853m in 2026, which would reflect a huge 131% improvement in sales compared to the last 12 months. Per-share earnings are expected to surge 71% to kr0.38. Previously, the analyst had been modelling revenues of kr712m and earnings per share (EPS) of kr0.37 in 2026. There's clearly been a surge in bullishness around the company's sales pipeline, even if there's no real change in earnings per share forecasts.

Check out our latest analysis for Instabank

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Instabank's past performance and to peers in the same industry. The analyst is definitely expecting Instabank's growth to accelerate, with the forecast 96% annualised growth to the end of 2026 ranking favourably alongside historical growth of 15% per annum over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 2.5% per year. Factoring in the forecast acceleration in revenue, it's pretty clear that Instabank is expected to grow much faster than its industry.

The Bottom Line

The most obvious conclusion from this consensus update is that there's been no major change in the business' prospects in recent times, with the analyst holding earnings per share steady, in line with previous estimates. Fortunately, the analyst also upgraded their revenue estimates, and our data indicates sales are expected to perform better than the wider market. Given that the analyst appears to be expecting substantial improvement in the sales pipeline, now could be the right time to take another look at Instabank.

Still, the long-term prospects of the business are much more relevant than next year's earnings. We have analyst estimates for Instabank going out as far as 2027, and you can see them free on our platform here.

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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.