Olav Thon Eiendomsselskap ASA Just Reported A Surprise Loss: Here's What Analysts Think Will Happen Next

As you might know, Olav Thon Eiendomsselskap ASA (OB:OLT) recently reported its yearly numbers. Revenues came in at kr4.8b, in line with estimates, while Olav Thon Eiendomsselskap reported a statutory loss of kr16.00 per share, well short of prior analyst forecasts for a profit. This is an important time for investors, as they can track a company's performance in its report, look at what expert is 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 analyst latest (statutory) post-earnings forecasts for next year.

See our latest analysis for Olav Thon Eiendomsselskap

Following the latest results, Olav Thon Eiendomsselskap's solitary analyst are now forecasting revenues of kr5.04b in 2024. This would be an okay 5.2% improvement in revenue compared to the last 12 months. Earnings are expected to improve, with Olav Thon Eiendomsselskap forecast to report a statutory profit of kr17.41 per share. Before this earnings report, the analyst had been forecasting revenues of kr4.99b and earnings per share (EPS) of kr17.98 in 2024. So it looks like there's been a small decline in overall sentiment after the recent results - there's been no major change to revenue estimates, but the analyst did make a minor downgrade to their earnings per share forecasts.

Despite cutting their earnings forecasts,the analyst has lifted their price target 8.7% to kr250, suggesting that these impacts are not expected to weigh on the stock's value in the long term.

One way to get more context on these forecasts is to look at how they compare to both past performance, and how other companies in the same industry are performing. The analyst is definitely expecting Olav Thon Eiendomsselskap's growth to accelerate, with the forecast 5.2% annualised growth to the end of 2024 ranking favourably alongside historical growth of 3.8% per annum over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 3.0% annually. Factoring in the forecast acceleration in revenue, it's pretty clear that Olav Thon Eiendomsselskap is expected to grow much faster than its industry.

The Bottom Line

The most important thing to take away is that the analyst downgraded their earnings per share estimates, showing that there has been a clear decline in sentiment following these results. Fortunately, they also reconfirmed their revenue numbers, suggesting that it's tracking in line with expectations. Additionally, our data suggests that revenue is expected to grow faster than the wider industry. We note an upgrade to the price target, suggesting that the analyst believes the intrinsic value of the business is likely to improve over time.

Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. We have analyst estimates for Olav Thon Eiendomsselskap going out as far as 2026, and you can see them free on our platform here.

We don't want to rain on the parade too much, but we did also find 1 warning sign for Olav Thon Eiendomsselskap that you need to be mindful 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.