AB Electrolux (publ) (STO:ELUX B) Just Released Its Annual Earnings: Here's What Analysts Think

AB Electrolux (publ) (STO:ELUX B) shareholders are probably feeling a little disappointed, since its shares fell 8.1% to kr101 in the week after its latest full-year results. Revenues came in at kr136b, in line with expectations, while statutory losses per share were substantially higher than expected, at kr5.16 per share. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.

See our latest analysis for AB Electrolux

Taking into account the latest results, the consensus forecast from AB Electrolux's ten analysts is for revenues of kr140.3b in 2025. This reflects a reasonable 3.1% improvement in revenue compared to the last 12 months. AB Electrolux is also expected to turn profitable, with statutory earnings of kr8.42 per share. In the lead-up to this report, the analysts had been modelling revenues of kr137.7b and earnings per share (EPS) of kr8.86 in 2025. So it looks like there's been a small decline in overall sentiment after the recent results - there's been no major change to revenue estimates, but the analysts did make a minor downgrade to their earnings per share forecasts.

The consensus price target held steady at kr113, with the analysts seemingly voting that their lower forecast earnings are not expected to lead to a lower stock price in the foreseeable future. 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. Currently, the most bullish analyst values AB Electrolux at kr140 per share, while the most bearish prices it at kr82.00. Analysts definitely have varying views on the business, but the spread of estimates is not wide enough in our view to suggest that extreme outcomes could await AB Electrolux shareholders.

Of course, another way to look at these forecasts is to place them into context against the industry itself. We can infer from the latest estimates that forecasts expect a continuation of AB Electrolux'shistorical trends, as the 3.1% annualised revenue growth to the end of 2025 is roughly in line with the 3.7% annual growth over the past five years. Juxtapose this against our data, which suggests that other companies (with analyst coverage) in the industry are forecast to see their revenues grow 2.5% per year. So although AB Electrolux is expected to maintain its revenue growth rate, it's only growing at about the rate of the wider industry.

The Bottom Line

The most important thing to take away is that the analysts downgraded their earnings per share estimates, showing that there has been a clear decline in sentiment following these results. 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 kr113, 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 AB Electrolux 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 AB Electrolux 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.