Analysts Are Updating Their Sweco AB (publ) (STO:SWEC B) Estimates After Its Third-Quarter Results

It's been a good week for Sweco AB (publ) (STO:SWEC B) shareholders, because the company has just released its latest quarterly results, and the shares gained 8.3% to kr172. It was a credible result overall, with revenues of kr7.1b and statutory earnings per share of kr1.17 both in line with analyst estimates, showing that Sweco is executing in line with expectations. 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. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analysts have changed their mind on Sweco after the latest results.

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Taking into account the latest results, the most recent consensus for Sweco from five analysts is for revenues of kr34.2b in 2026. If met, it would imply a notable 9.7% increase on its revenue over the past 12 months. Per-share earnings are expected to swell 16% to kr6.96. Yet prior to the latest earnings, the analysts had been anticipated revenues of kr33.9b and earnings per share (EPS) of kr7.05 in 2026. The consensus analysts don't seem to have seen anything in these results that would have changed their view on the business, given there's been no major change to their estimates.

See our latest analysis for Sweco

It will come as no surprise then, to learn that the consensus price target is largely unchanged at kr189. 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. The most optimistic Sweco analyst has a price target of kr210 per share, while the most pessimistic values it at kr165. Still, with such a tight range of estimates, it suggeststhe analysts have a pretty good idea of what they think the company is worth.

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. We would highlight that Sweco's revenue growth is expected to slow, with the forecast 7.7% annualised growth rate until the end of 2026 being well below the historical 9.9% 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) 4.9% per year. Even after the forecast slowdown in growth, it seems obvious that Sweco is also expected to grow faster than 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 major changes to revenue forecasts, with the business still expected to grow faster than the wider industry. The consensus price target held steady at kr189, 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 Sweco going out to 2027, and you can see them free on our platform here.

Even so, be aware that Sweco is showing 1 warning sign in our investment analysis , you should know about...

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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.