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Here's What Analysts Are Forecasting For Humble Group AB (publ) (STO:HUMBLE) After Its Yearly Results
As you might know, Humble Group AB (publ) (STO:HUMBLE) recently reported its annual numbers. It looks like the results were a bit of a negative overall. While revenues of kr7.7b were in line with analyst predictions, statutory earnings were less than expected, missing estimates by 3.3% to hit kr0.27 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.
View our latest analysis for Humble Group
Taking into account the latest results, the current consensus from Humble Group's twin analysts is for revenues of kr8.64b in 2025. This would reflect a solid 12% increase on its revenue over the past 12 months. Statutory earnings per share are predicted to leap 94% to kr0.54. In the lead-up to this report, the analysts had been modelling revenues of kr8.73b and earnings per share (EPS) of kr0.62 in 2025. So there's definitely been a decline in sentiment after the latest results, noting the substantial drop in new EPS forecasts.
It might be a surprise to learn that the consensus price target was broadly unchanged at kr13.20, with the analysts clearly implying that the forecast decline in earnings is not expected to have much of an impact on valuation.
Of course, another way to look at these forecasts is to place them into context against the industry itself. We would highlight that Humble Group's revenue growth is expected to slow, with the forecast 12% annualised growth rate until the end of 2025 being well below the historical 57% 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) 5.0% per year. Even after the forecast slowdown in growth, it seems obvious that Humble Group is also expected to grow faster than 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. Fortunately, they also reconfirmed their revenue numbers, suggesting that it's tracking in line with expectations. Additionally, our data suggests that revenue is expected to grow faster than the wider industry. The consensus price target held steady at kr13.20, 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 least one analyst has provided forecasts out to 2027, which can be seen for free on our platform here.
It might also be worth considering whether Humble Group's debt load is appropriate, using our debt analysis tools on the Simply Wall St platform, here.
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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.
About OM:HUMBLE
Humble Group
Humble Group AB (publ) refines, develops, and distributes fast-moving consumer products in Sweden and internationally.