Stille AB Just Missed Earnings - But Analysts Have Updated Their Models

The analysts might have been a bit too bullish on Stille AB (STO:STIL), given that the company fell short of expectations when it released its second-quarter results last week. Unfortunately, Stille delivered a serious earnings miss. Revenues of kr125m were 11% below expectations, and statutory earnings per share of kr1.11 missed estimates by 44%. 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. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year.

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After the latest results, the twin analysts covering Stille are now predicting revenues of kr607.5m in 2025. If met, this would reflect a decent 12% improvement in revenue compared to the last 12 months. Per-share earnings are expected to step up 20% to kr6.97. Before this earnings report, the analysts had been forecasting revenues of kr583.4m and earnings per share (EPS) of kr8.50 in 2025. So it's pretty clear the analysts have mixed opinions on Stille after the latest results; even though they upped their revenue numbers, it came at the cost of a substantial drop in per-share earnings expectations.

Check out our latest analysis for Stille

The consensus price target was unchanged at kr268, suggesting the business is performing roughly in line with expectations, despite some adjustments to profit and revenue forecasts.

Looking at the bigger picture now, one of the ways we can make sense of these forecasts is to see how they measure up against both past performance and industry growth estimates. We can infer from the latest estimates that forecasts expect a continuation of Stille'shistorical trends, as the 26% annualised revenue growth to the end of 2025 is roughly in line with the 30% annual growth over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to see their revenues grow 18% per year. So although Stille is expected to maintain its revenue growth rate, it's definitely expected to grow faster than the wider industry.

The Bottom Line

The biggest concern is that the analysts reduced their earnings per share estimates, suggesting business headwinds could lay ahead for Stille. Happily, they also upgraded their revenue estimates, and are forecasting them to grow faster than the wider industry. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.

Following on from that line of thought, we think that the long-term prospects of the business are much more relevant than next year's earnings. At least one analyst has provided forecasts out to 2027, which can be seen for free on our platform here.

Before you take the next step you should know about the 1 warning sign for Stille that we have uncovered.

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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.