Saudi Arabian Mining Company (Ma'aden) Just Beat EPS By 34%: Here's What Analysts Think Will Happen Next

Saudi Arabian Mining Company (Ma'aden) (TADAWUL:1211) just released its latest second-quarter results and things are looking bullish. It was overall a positive result, with revenues beating expectations by 6.7% to hit ر.س9.4b. Saudi Arabian Mining Company (Ma'aden) also reported a statutory profit of ر.س0.51, which was an impressive 34% above what the analysts had forecast. 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. So we gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.

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Following last week's earnings report, Saudi Arabian Mining Company (Ma'aden)'s eight analysts are forecasting 2025 revenues to be ر.س35.9b, approximately in line with the last 12 months. Per-share earnings are expected to leap 55% to ر.س1.74. Before this earnings report, the analysts had been forecasting revenues of ر.س35.6b and earnings per share (EPS) of ر.س1.70 in 2025. So the consensus seems to have become somewhat more optimistic on Saudi Arabian Mining Company (Ma'aden)'s earnings potential following these results.

See our latest analysis for Saudi Arabian Mining Company (Ma'aden)

The consensus price target was unchanged at ر.س50.96, implying that the improved earnings outlook is not expected to have a long term impact on value creation for shareholders. 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. There are some variant perceptions on Saudi Arabian Mining Company (Ma'aden), with the most bullish analyst valuing it at ر.س60.00 and the most bearish at ر.س31.90 per share. There are definitely some different views on the stock, but the range of estimates is not wide enough as to imply that the situation is unforecastable, in our view.

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. We would highlight that Saudi Arabian Mining Company (Ma'aden)'s revenue growth is expected to slow, with the forecast 0.01% annualised growth rate until the end of 2025 being well below the historical 10% p.a. growth over the last five years. By way of comparison, the other companies in this industry with analyst coverage are forecast to grow their revenue at 9.1% per year. So it's pretty clear that, while revenue growth is expected to slow down, the wider industry is also expected to grow faster than Saudi Arabian Mining Company (Ma'aden).

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 Saudi Arabian Mining Company (Ma'aden) following these results. On the plus side, there were no major changes to revenue estimates; although forecasts imply they will perform worse 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 Saudi Arabian Mining Company (Ma'aden) 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 Saudi Arabian Mining Company (Ma'aden) .

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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.