Here's What Analysts Are Forecasting For Lindab International AB (publ) (STO:LIAB) After Its Full-Year Results

Investors in Lindab International AB (publ) (STO:LIAB) had a good week, as its shares rose 5.3% to close at kr211 following the release of its full-year results. Results were roughly in line with estimates, with revenues of kr13b and statutory earnings per share of kr11.07. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. We've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.

View our latest analysis for Lindab International

Taking into account the latest results, the consensus forecast from Lindab International's three analysts is for revenues of kr13.8b in 2024. This reflects an okay 5.1% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to expand 11% to kr12.29. Before this earnings report, the analysts had been forecasting revenues of kr13.1b and earnings per share (EPS) of kr12.18 in 2024. So it looks like there's been no major change in sentiment following the latest results, although the analysts have made a small increase to to revenue forecasts.

Even though revenue forecasts increased, there was no change to the consensus price target of kr232, suggesting the analysts are focused on earnings as the driver of value creation. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. There are some variant perceptions on Lindab International, with the most bullish analyst valuing it at kr250 and the most bearish at kr205 per share. The narrow spread of estimates could suggest that the business' future is relatively easy to value, or thatthe analysts have a strong view on its prospects.

Taking a look at the bigger picture now, one of the ways we can understand these forecasts is to see how they compare to both past performance and industry growth estimates. We would highlight that Lindab International's revenue growth is expected to slow, with the forecast 5.1% annualised growth rate until the end of 2024 being well below the historical 8.0% 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) 5.4% annually. So it's pretty clear that, while Lindab International's revenue growth is expected to slow, it's expected to grow roughly in line with the industry.

The Bottom Line

The most important thing to take away is that there's been no major change in sentiment, with the analysts reconfirming that the business is performing in line with their previous earnings per share estimates. There was also an upgrade to revenue estimates, although as we saw earlier, forecast growth is only expected to be about the same as 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 in mind, we wouldn't be too quick to come to a conclusion on Lindab International. Long-term earnings power is much more important than next year's profits. We have forecasts for Lindab International going out to 2026, and you can see them free on our platform here.

Before you take the next step you should know about the 1 warning sign for Lindab International that we have uncovered.

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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.