Industry Analysts Just Made A Sizeable Upgrade To Their Sparebanken Vest (OB:SVEG) Revenue Forecasts

Celebrations may be in order for Sparebanken Vest (OB:SVEG) shareholders, with the analysts delivering a significant upgrade to their statutory estimates for the company. The revenue forecast for next year has experienced a facelift, with the analysts now much more optimistic on its sales pipeline.

After the upgrade, the five analysts covering Sparebanken Vest are now predicting revenues of kr8.2b in 2025. If met, this would reflect a notable 12% improvement in sales compared to the last 12 months. Statutory earnings per share are supposed to reduce 4.7% to kr15.56 in the same period. Before this latest update, the analysts had been forecasting revenues of kr7.4b and earnings per share (EPS) of kr15.50 in 2025. It seems analyst sentiment has certainly become more bullish on revenues, even though they haven't changed their view on earnings per share.

Check out our latest analysis for Sparebanken Vest

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Sparebanken Vest's past performance and to peers in the same industry. It's pretty clear that there is an expectation that Sparebanken Vest's revenue growth will slow down substantially, with revenues to the end of 2025 expected to display 9.7% growth on an annualised basis. This is compared to a historical growth rate of 14% over the past five years. Juxtapose this against the other companies in the industry with analyst coverage, which are forecast to grow their revenues (in aggregate) 1.2% per year. So it's pretty clear that, while Sparebanken Vest's revenue growth is expected to slow, it's still expected to grow faster than the industry itself.

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 analysts holding earnings per share steady, in line with previous estimates. They also upgraded their revenue estimates for next year, and sales are expected to grow faster than the wider market. Given that analysts appear to be expecting substantial improvement in the sales pipeline, now could be the right time to take another look at Sparebanken Vest.

Even so, the longer term trajectory of the business is much more important for the value creation of shareholders. We have estimates - from multiple Sparebanken Vest analysts - going out to 2026, and you can see them free on our platform here.

Of course, seeing company management invest large sums of money in a stock can be just as useful as knowing whether analysts are upgrading their estimates. So you may also wish to search this free list of stocks with high insider ownership.

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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.