Powszechna Kasa Oszczednosci Bank Polski Spólka Akcyjna (WSE:PKO) Third-Quarter Results: Here's What Analysts Are Forecasting For Next Year

Last week saw the newest third-quarter earnings release from Powszechna Kasa Oszczednosci Bank Polski Spólka Akcyjna (WSE:PKO), an important milestone in the company's journey to build a stronger business. Revenues came in 4.0% below expectations, at zł7.4b. Statutory earnings per share were relatively better off, with a per-share profit of zł7.44 being roughly in line with analyst estimates. The analysts typically update their forecasts at each earnings report, and we can judge from their estimates whether their view of the company has changed or if there are any new concerns to be aware of. 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 consensus forecast from Powszechna Kasa Oszczednosci Bank Polski Spólka Akcyjna's ten analysts is for revenues of zł31.0b in 2026. This reflects an okay 5.6% improvement in revenue compared to the last 12 months. Statutory earnings per share are expected to shrink 5.6% to zł7.87 in the same period. Yet prior to the latest earnings, the analysts had been anticipated revenues of zł31.2b and earnings per share (EPS) of zł8.39 in 2026. 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 analysts did make a minor downgrade to their earnings per share forecasts.

View our latest analysis for Powszechna Kasa Oszczednosci Bank Polski Spólka Akcyjna

It might be a surprise to learn that the consensus price target was broadly unchanged at zł87.66, with the analysts clearly implying that the forecast decline in earnings is not expected to have much of an impact on valuation. That's not the only conclusion we can draw from this data however, as some investors also like to consider the spread in estimates when evaluating analyst price targets. Currently, the most bullish analyst values Powszechna Kasa Oszczednosci Bank Polski Spólka Akcyjna at zł101 per share, while the most bearish prices it at zł76.00. This is a very narrow spread of estimates, implying either that Powszechna Kasa Oszczednosci Bank Polski Spólka Akcyjna is an easy company to value, or - more likely - the analysts are relying heavily on some key assumptions.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Powszechna Kasa Oszczednosci Bank Polski Spólka Akcyjna's past performance and to peers in the same industry. It's pretty clear that there is an expectation that Powszechna Kasa Oszczednosci Bank Polski Spólka Akcyjna's revenue growth will slow down substantially, with revenues to the end of 2026 expected to display 4.4% growth on an annualised basis. This is compared to a historical growth rate of 28% over the past five years. By way of comparison, the other companies in this industry with analyst coverage are forecast to grow their revenue at 1.8% annually. So it's pretty clear that, while Powszechna Kasa Oszczednosci Bank Polski Spólka Akcyjna's revenue growth is expected to slow, it's still expected to grow faster than the industry itself.

The Bottom Line

The most important thing to take away is that the analysts downgraded their earnings per share estimates, showing that there has been a clear decline in sentiment following these results. Happily, there were no major changes to revenue forecasts, with the business still 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.

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 Simply Wall St, we have a full range of analyst estimates for Powszechna Kasa Oszczednosci Bank Polski Spólka Akcyjna going out to 2027, and you can see them free on our platform here..

You should always think about risks though. Case in point, we've spotted 2 warning signs for Powszechna Kasa Oszczednosci Bank Polski Spólka Akcyjna you should be aware 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.