Systemair AB (publ) Just Beat Analyst Forecasts, And Analysts Have Been Updating Their Predictions

Investors in Systemair AB (publ) (STO:SYSR) had a good week, as its shares rose 2.2% to close at kr79.90 following the release of its full-year results. Systemair reported kr12b in revenue, roughly in line with analyst forecasts, although statutory earnings per share (EPS) of kr3.10 beat expectations, being 7.1% higher than what the analysts expected. 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.

View our latest analysis for Systemair

After the latest results, the five analysts covering Systemair are now predicting revenues of kr12.6b in 2025. If met, this would reflect a satisfactory 2.5% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to ascend 18% to kr3.68. In the lead-up to this report, the analysts had been modelling revenues of kr12.4b and earnings per share (EPS) of kr3.74 in 2025. 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.

It will come as no surprise then, to learn that the consensus price target is largely unchanged at kr85.50. There's another way to think about price targets though, and that's to look at the range of price targets put forward by analysts, because a wide range of estimates could suggest a diverse view on possible outcomes for the business. The most optimistic Systemair analyst has a price target of kr95.00 per share, while the most pessimistic values it at kr83.00. This is a very narrow spread of estimates, implying either that Systemair is an easy company to value, or - more likely - the analysts are relying heavily on some key assumptions.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Systemair's past performance and to peers in the same industry. It's pretty clear that there is an expectation that Systemair's revenue growth will slow down substantially, with revenues to the end of 2025 expected to display 2.5% growth on an annualised basis. This is compared to a historical growth rate of 9.2% over the past five years. Compare this against other companies (with analyst forecasts) in the industry, which are in aggregate expected to see revenue growth of 6.2% annually. So it's pretty clear that, while revenue growth is expected to slow down, the wider industry is also expected to grow faster than Systemair.

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. On the plus side, there were no major changes to revenue estimates; although forecasts imply they will perform worse than the wider industry. The consensus price target held steady at kr85.50, with the latest estimates not enough to have an impact on their price targets.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. At Simply Wall St, we have a full range of analyst estimates for Systemair going out to 2027, and you can see them free on our platform here..

Don't forget that there may still be risks. For instance, we've identified 1 warning sign for Systemair 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.