Analyst Estimates: Here's What Brokers Think Of SmartCraft ASA (OB:SMCRT) After Its Full-Year Report

The annual results for SmartCraft ASA (OB:SMCRT) were released last week, making it a good time to revisit its performance. Revenues of kr271m were in line with forecasts, although statutory earnings per share (EPS) came in below expectations at kr0.22, missing estimates by 2.2%. 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. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year.

View our latest analysis for SmartCraft

Taking into account the latest results, the current consensus from SmartCraft's dual analysts is for revenues of kr343.0m in 2022, which would reflect a sizeable 27% increase on its sales over the past 12 months. Statutory earnings per share are predicted to bounce 153% to kr0.51. Before this earnings report, the analysts had been forecasting revenues of kr335.7m and earnings per share (EPS) of kr0.48 in 2022. So there seems to have been a moderate uplift in sentiment following the latest results, given the upgrades to both revenue and earnings per share forecasts for next year.

Despite these upgrades,the analysts have not made any major changes to their price target of kr26.50, suggesting that the higher estimates are not likely to have a long term impact on what the stock is worth.

Of course, another way to look at these forecasts is to place them into context against the industry itself. We can infer from the latest estimates that forecasts expect a continuation of SmartCraft'shistorical trends, as the 27% annualised revenue growth to the end of 2022 is roughly in line with the 31% annual revenue growth over the past three years. Juxtapose this against our data, which suggests that other companies (with analyst coverage) in the industry are forecast to see their revenues grow 22% per year. So although SmartCraft is expected to maintain its revenue growth rate, it's only growing at about the rate of the wider industry.

The Bottom Line

The most important thing here is that the analysts upgraded their earnings per share estimates, suggesting that there has been a clear increase in optimism towards SmartCraft following these results. They also upgraded their revenue forecasts, although the latest estimates suggest that SmartCraft will grow in line with the overall 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.

Following on from that line of thought, we think that the long-term prospects of the business are much more relevant than next year's earnings. At least one analyst has provided forecasts out to 2023, which can be seen for free on our platform here.

Before you take the next step you should know about the 1 warning sign for SmartCraft that we have uncovered.

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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.