kr5.05: That's What Analysts Think Raketech Group Holding PLC (STO:RAKE) Is Worth After Its Latest Results

It's been a mediocre week for Raketech Group Holding PLC (STO:RAKE) shareholders, with the stock dropping 14% to kr2.10 in the week since its latest quarterly results. It was a negative result overall, with revenues coming in 12% less than what the analyst expected, at €7.0m. Following the result, the analyst has updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. With this in mind, we've gathered the latest statutory forecasts to see what the analyst is expecting for next year.

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Taking into account the latest results, the lone analyst covering Raketech Group Holding provided consensus estimates of €29.0m revenue in 2026, which would reflect a substantial 30% decline over the past 12 months. Earnings are expected to improve, with Raketech Group Holding forecast to report a statutory profit of €0.09 per share. Yet prior to the latest earnings, the analyst had been anticipated revenues of €36.0m and earnings per share (EPS) of €0.06 in 2026. So there's been quite a change-up of views after the latest results, with the analyst making a serious cut to their revenue forecasts while also granting a sizeable expansion in to the earnings per share numbers.

View our latest analysis for Raketech Group Holding

The analyst has cut their price target 24% to kr5.05per share, suggesting that the declining revenue was a more crucial indicator than the expected improvement in earnings.

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. These estimates imply that revenue is expected to slow, with a forecast annualised decline of 25% by the end of 2026. This indicates a significant reduction from annual growth of 14% over the last five years. Compare this with our data, which suggests that other companies in the same industry are, in aggregate, expected to see their revenue grow 6.3% per year. So although its revenues are forecast to shrink, this cloud does not come with a silver lining - Raketech Group Holding is expected to lag the wider industry.

The Bottom Line

The biggest takeaway for us is the consensus earnings per share upgrade, which suggests a clear improvement in sentiment around Raketech Group Holding's earnings potential next year. On the negative side, they also downgraded their revenue estimates, and forecasts imply they will perform worse than the wider industry. Still, earnings per share are more important to value creation for shareholders. Furthermore, the analyst also cut their price targets, suggesting that the latest news has led to greater pessimism about the intrinsic value of the business.

Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. At least one analyst has provided forecasts out to 2027, which can be seen for free on our platform here.

You still need to take note of risks, for example - Raketech Group Holding has 1 warning sign we think 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.