Analysts Have Made A Financial Statement On SpareBank 1 SMN's (OB:MING) First-Quarter Report

Last week, you might have seen that SpareBank 1 SMN (OB:MING) released its first-quarter result to the market. The early response was not positive, with shares down 2.4% to kr187 in the past week. It looks like the results were a bit of a negative overall. While revenues of kr2.1b were in line with analyst predictions, statutory earnings were less than expected, missing estimates by 2.4% to hit kr4.32 per share. Following the result, the analysts have updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.

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Taking into account the latest results, the current consensus, from the four analysts covering SpareBank 1 SMN, is for revenues of kr8.53b in 2025. This implies a discernible 4.4% reduction in SpareBank 1 SMN's revenue over the past 12 months. In the lead-up to this report, the analysts had been modelling revenues of kr8.79b and earnings per share (EPS) of kr18.05 in 2025. Overall, while there's been a minor downgrade to revenue estimates, the consensus now no longer provides an EPS estimate. This implies that the market believes revenue is more important following the latest results.

Check out our latest analysis for SpareBank 1 SMN

There's been no real change to the consensus price target of kr196, with SpareBank 1 SMN seemingly executing in line with expectations. That's not the only conclusion we can draw from this data however, as some investors also like to consider the spread in estimates when evaluating analyst price targets. The most optimistic SpareBank 1 SMN analyst has a price target of kr210 per share, while the most pessimistic values it at kr170. Still, with such a tight range of estimates, it suggeststhe analysts have a pretty good idea of what they think the company is worth.

Of course, another way to look at these forecasts is to place them into context against the industry itself. We would highlight that revenue is expected to reverse, with a forecast 5.8% annualised decline to the end of 2025. That is a notable change from historical growth of 12% over the last five years. By contrast, our data suggests that other companies (with analyst coverage) in the same industry are forecast to see their revenue grow 3.1% annually for the foreseeable future. So although its revenues are forecast to shrink, this cloud does not come with a silver lining - SpareBank 1 SMN is expected to lag the wider industry.

The Bottom Line

The most important thing to take away is that the analysts downgraded their revenue estimates for next year. Unfortunately, they also downgraded their revenue estimates, and our data indicates it is expected to perform worse than the wider industry. The consensus price target held steady at kr196, with the latest estimates not enough to have an impact on their price targets.

At least one of SpareBank 1 SMN's four analysts has provided estimates out to 2027, which can be seen for free on our platform here.

You can also see whether SpareBank 1 SMN is carrying too much debt, and whether its balance sheet is healthy, for 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.