Swedish Orphan Biovitrum AB (publ) Just Beat EPS By 95%: Here's What Analysts Think Will Happen Next

Swedish Orphan Biovitrum AB (publ) (STO:SOBI) just released its latest quarterly results and things are looking bullish. Swedish Orphan Biovitrum delivered a significant beat to revenue and earnings per share (EPS) expectations, hitting kr6.9b-13% above indicated-andkr4.22-95% above forecasts- respectively 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. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year.

View our latest analysis for Swedish Orphan Biovitrum

Taking into account the latest results, the current consensus from Swedish Orphan Biovitrum's ten analysts is for revenues of kr27.7b in 2025. This would reflect a meaningful 9.1% increase on its revenue over the past 12 months. Statutory earnings per share are predicted to jump 37% to kr14.04. Before this earnings report, the analysts had been forecasting revenues of kr27.6b and earnings per share (EPS) of kr14.02 in 2025. So it's pretty clear that, although the analysts have updated their estimates, there's been no major change in expectations for the business following the latest results.

It will come as no surprise then, to learn that the consensus price target is largely unchanged at kr336. Fixating on a single price target can be unwise though, since the consensus target is effectively the average of analyst price targets. As a result, some investors like to look at the range of estimates to see if there are any diverging opinions on the company's valuation. There are some variant perceptions on Swedish Orphan Biovitrum, with the most bullish analyst valuing it at kr389 and the most bearish at kr275 per share. There are definitely some different views on the stock, but the range of estimates is not wide enough as to imply that the situation is unforecastable, in our view.

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 would highlight that Swedish Orphan Biovitrum's revenue growth is expected to slow, with the forecast 7.2% annualised growth rate until the end of 2025 being well below the historical 12% p.a. growth over the last five years. By way of comparison, the other companies in this industry with analyst coverage are forecast to grow their revenue at 17% per year. So it's pretty clear that, while revenue growth is expected to slow down, the wider industry is also expected to grow faster than Swedish Orphan Biovitrum.

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. Fortunately, the analysts also reconfirmed their revenue estimates, suggesting that it's tracking in line with expectations. Although our data does suggest that Swedish Orphan Biovitrum's revenue is expected to perform worse 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.

Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. At Simply Wall St, we have a full range of analyst estimates for Swedish Orphan Biovitrum going out to 2026, and you can see them free on our platform here..

That said, it's still necessary to consider the ever-present spectre of investment risk. We've identified 2 warning signs with Swedish Orphan Biovitrum , and understanding them should be part of your investment process.

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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.