Skanska AB (publ) Earnings Missed Analyst Estimates: Here's What Analysts Are Forecasting Now

Shareholders might have noticed that Skanska AB (publ) (STO:SKA B) filed its quarterly result this time last week. The early response was not positive, with shares down 6.7% to kr242 in the past week. Statutory earnings per share fell badly short of expectations, coming in at kr3.07, some 23% below analyst forecasts, although revenues were okay, approximately in line with analyst estimates at kr44b. 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 most recent consensus for Skanska from four analysts is for revenues of kr193.5b in 2026. If met, it would imply a reasonable 6.0% increase on its revenue over the past 12 months. Statutory earnings per share are predicted to soar 26% to kr18.94. Yet prior to the latest earnings, the analysts had been anticipated revenues of kr193.8b and earnings per share (EPS) of kr19.06 in 2026. So it's pretty clear that, although the analysts have updated their estimates, there's been no major change in expectations for the business following the latest results.

Check out our latest analysis for Skanska

It will come as no surprise then, to learn that the consensus price target is largely unchanged at kr275. 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 Skanska at kr295 per share, while the most bearish prices it at kr250. This is a very narrow spread of estimates, implying either that Skanska is an easy company to value, or - more likely - the analysts are relying heavily on some key assumptions.

Another way we can view these estimates is in the context of the bigger picture, such as how the forecasts stack up against past performance, and whether forecasts are more or less bullish relative to other companies in the industry. The analysts are definitely expecting Skanska's growth to accelerate, with the forecast 4.7% annualised growth to the end of 2026 ranking favourably alongside historical growth of 3.9% per annum over the past five years. Other similar companies in the industry (with analyst coverage) are also forecast to grow their revenue at 5.1% per year. Factoring in the forecast acceleration in revenue, it's pretty clear that Skanska is expected to grow at about the same rate as the wider 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. Happily, there were no real changes to revenue forecasts, with the business still expected to grow in line with the overall industry. The consensus price target held steady at kr275, 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 Skanska going out to 2027, and you can see them free on our platform here.

However, before you get too enthused, we've discovered 1 warning sign for Skanska that 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.