Analysts Are Betting On YAMAMA Cement Company (TADAWUL:3020) With A Big Upgrade This Week

Celebrations may be in order for YAMAMA Cement Company (TADAWUL:3020) shareholders, with the analysts delivering a significant upgrade to their statutory estimates for the company. The revenue forecast for this year has experienced a facelift, with the analysts now much more optimistic on its sales pipeline.

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After this upgrade, YAMAMA Cement's twin analysts are now forecasting revenues of ر.س1.4b in 2025. This would be a decent 9.3% improvement in sales compared to the last 12 months. Statutory earnings per share are presumed to accumulate 4.0% to ر.س2.30. Prior to this update, the analysts had been forecasting revenues of ر.س1.2b and earnings per share (EPS) of ر.س2.16 in 2025. The most recent forecasts are noticeably more optimistic, with a nice increase in revenue estimates and a lift to earnings per share as well.

Check out our latest analysis for YAMAMA Cement

Although the analysts have upgraded their earnings estimates, there was no change to the consensus price target of ر.س39.57, suggesting that the forecast performance does not have a long term impact on the company's valuation.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the YAMAMA Cement's past performance and to peers in the same industry. It's clear from the latest estimates that YAMAMA Cement's rate of growth is expected to accelerate meaningfully, with the forecast 13% annualised revenue growth to the end of 2025 noticeably faster than its historical growth of 5.8% p.a. over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 4.8% annually. Factoring in the forecast acceleration in revenue, it's pretty clear that YAMAMA Cement is expected to grow much faster than its industry.

The Bottom Line

The biggest takeaway for us from these new estimates is that analysts upgraded their earnings per share estimates, with improved earnings power expected for this year. Fortunately, analysts also upgraded their revenue estimates, and our data indicates sales are expected to perform better than the wider market. Seeing the dramatic upgrade to this year's forecasts, it might be time to take another look at YAMAMA Cement.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have analyst estimates for YAMAMA Cement going out as far as 2027, and you can see them free on our platform here.

Of course, seeing company management invest large sums of money in a stock can be just as useful as knowing whether analysts are upgrading their estimates. So you may also wish to search this free list of stocks with high insider ownership.

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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.