Results: P/F Bakkafrost Delivered A Surprise Loss And Now Analysts Have New Forecasts

Shareholders might have noticed that P/F Bakkafrost (OB:BAKKA) filed its quarterly result this time last week. The early response was not positive, with shares down 2.6% to kr488 in the past week. It looks like a pretty bad result, given that revenues fell 19% short of analyst estimates at kr.1.9b, and the company reported a statutory loss of kr.0.10 per share instead of the profit that the analysts had been forecasting. 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. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.

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Taking into account the latest results, the current consensus from P/F Bakkafrost's seven analysts is for revenues of kr.7.64b in 2025. This would reflect a decent 8.7% increase on its revenue over the past 12 months. Per-share earnings are expected to soar 170% to kr.11.35. Before this earnings report, the analysts had been forecasting revenues of kr.7.86b and earnings per share (EPS) of kr.16.77 in 2025. The analysts seem less optimistic after the recent results, reducing their revenue forecasts and making a large cut to earnings per share numbers.

View our latest analysis for P/F Bakkafrost

Despite the cuts to forecast earnings, there was no real change to the kr574 price target, showing that the analysts don't think the changes have a meaningful impact on its intrinsic value. 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 P/F Bakkafrost at kr655 per share, while the most bearish prices it at kr499. These price targets show that analysts do have some differing views on the business, but the estimates do not vary enough to suggest to us that some are betting on wild success or utter failure.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the P/F Bakkafrost's past performance and to peers in the same industry. We can infer from the latest estimates that forecasts expect a continuation of P/F Bakkafrost'shistorical trends, as the 12% annualised revenue growth to the end of 2025 is roughly in line with the 11% annual growth 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 revenues grow 7.8% per year. So it's pretty clear that P/F Bakkafrost is forecast to grow substantially faster than its industry.

The Bottom Line

The biggest concern is that the analysts reduced their earnings per share estimates, suggesting business headwinds could lay ahead for P/F Bakkafrost. They also downgraded P/F Bakkafrost's revenue estimates, but industry data suggests that it is 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. We have forecasts for P/F Bakkafrost going out to 2027, and you can see them free on our platform here.

Plus, you should also learn about the 1 warning sign we've spotted with P/F Bakkafrost .

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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.