AQ Group AB (publ) Just Beat EPS By 12%: Here's What Analysts Think Will Happen Next

It's been a good week for AQ Group AB (publ) (STO:AQ) shareholders, because the company has just released its latest second-quarter results, and the shares gained 4.4% to kr195. It looks like a credible result overall - although revenues of kr2.3b were in line with what the analysts predicted, AQ Group surprised by delivering a statutory profit of kr2.05 per share, a notable 12% above expectations. 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've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.

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Following the latest results, AQ Group's three analysts are now forecasting revenues of kr9.15b in 2025. This would be an okay 5.0% improvement in revenue compared to the last 12 months. Per-share earnings are expected to increase 6.8% to kr7.63. Before this earnings report, the analysts had been forecasting revenues of kr9.14b and earnings per share (EPS) of kr7.29 in 2025. The analysts seems to have become more bullish on the business, judging by their new earnings per share estimates.

View our latest analysis for AQ Group

The consensus price target was unchanged at kr190, implying that the improved earnings outlook is not expected to have a long term impact on value creation for shareholders.

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 AQ Group's revenue growth is expected to slow, with the forecast 10% annualised growth rate until the end of 2025 being well below the historical 15% p.a. growth over the last five years. Juxtapose this against the other companies in the industry with analyst coverage, which are forecast to grow their revenues (in aggregate) 8.1% per year. So it's pretty clear that, while AQ Group'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 here is that the analysts upgraded their earnings per share estimates, suggesting that there has been a clear increase in optimism towards AQ Group following these results. Fortunately, they also reconfirmed their revenue numbers, suggesting that it's tracking in line with expectations. Additionally, our data suggests that revenue is expected to grow faster than the wider industry. The consensus price target held steady at kr190, with the latest estimates not enough to have an impact on their price targets.

Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. We have forecasts for AQ Group 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 1 warning sign for AQ Group 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.