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Napatech A/S (OB:NAPA) Just Released Its Third-Quarter Results And Analysts Are Updating Their Estimates
Shareholders might have noticed that Napatech A/S (OB:NAPA) filed its quarterly result this time last week. The early response was not positive, with shares down 6.9% to kr25.70 in the past week. Revenues were kr.34m, with Napatech reporting some 2.8% below analyst expectations. Following the result, the analyst has 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 estimate to see what could be in store for next year.
See our latest analysis for Napatech
Taking into account the latest results, the consensus forecast from Napatech's sole analyst is for revenues of kr.335.0m in 2025. This reflects a huge 145% improvement in revenue compared to the last 12 months. Before this earnings announcement, the analyst had been modelling revenues of kr.326.0m and losses of kr.0.14 per share in 2025. The thing that stands out most is that, while there's been a small lift in revenue estimates, the consensus no longer provides an EPS estimate. This impliesthat revenue is more important following the latest results.
There's been no real change to the consensus price target of kr37.02, with Napatech seemingly executing in line with expectations.
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. One thing stands out from these estimates, which is that Napatech is forecast to grow faster in the future than it has in the past, with revenues expected to display 105% annualised growth until the end of 2025. If achieved, this would be a much better result than the 4.3% annual decline over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in the industry are forecast to see their revenue grow 2.7% per year. Not only are Napatech's revenues expected to improve, it seems that the analyst is also expecting it to grow faster than the wider industry.
The Bottom Line
The most important thing to take away is that the analyst upgraded their revenue estimates for next year. Pleasantly, they also upgraded their revenue estimates, and their forecasts suggest the business is expected to grow faster than the wider industry. The consensus price target held steady at kr37.02, with the latest estimates not enough to have an impact on their price target.
One Napatech broker/analyst has provided estimates out to 2026, which can be seen for free on our platform here.
That said, it's still necessary to consider the ever-present spectre of investment risk. We've identified 1 warning sign with Napatech , and understanding this should be part of your investment process.
Valuation is complex, but we're here to simplify it.
Discover if Napatech might be undervalued or overvalued with our detailed analysis, featuring fair value estimates, potential risks, dividends, insider trades, and its financial condition.
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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.
About OB:NAPA
Napatech
Offers reconfigurable computing solutions for the networking and cybersecurity applications worldwide.