Analysts Have Been Trimming Their Bokusgruppen AB (publ) (STO:BOKUS) Price Target After Its Latest Report

Last week saw the newest annual earnings release from Bokusgruppen AB (publ) (STO:BOKUS), an important milestone in the company's journey to build a stronger business. The result was positive overall - although revenues of kr2.0b were in line with what the analysts predicted, Bokusgruppen surprised by delivering a statutory profit of kr2.60 per share, modestly greater than expected. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. 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 Bokusgruppen

Taking into account the latest results, the most recent consensus for Bokusgruppen from twin analysts is for revenues of kr2.21b in 2025. If met, it would imply a notable 11% increase on its revenue over the past 12 months. Per-share earnings are expected to leap 22% to kr3.17. Yet prior to the latest earnings, the analysts had been anticipated revenues of kr2.20b and earnings per share (EPS) of kr3.15 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.

With no major changes to earnings forecasts, the consensus price target fell 25% to kr54.50, suggesting that the analysts might have previously been hoping for an earnings upgrade.

Of course, another way to look at these forecasts is to place them into context against the industry itself. It's clear from the latest estimates that Bokusgruppen's rate of growth is expected to accelerate meaningfully, with the forecast 11% annualised revenue growth to the end of 2025 noticeably faster than its historical growth of 1.9% p.a. over the past three years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 4.3% per year. Factoring in the forecast acceleration in revenue, it's pretty clear that Bokusgruppen is expected to grow much faster than its industry.

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. Happily, there were no major changes to revenue forecasts, with the business still expected to grow faster than the wider industry. The consensus price target fell measurably, with the analysts seemingly not reassured by the latest results, leading to a lower estimate of Bokusgruppen's future valuation.

With that in mind, we wouldn't be too quick to come to a conclusion on Bokusgruppen. Long-term earnings power is much more important than next year's profits. At least one analyst has provided forecasts out to 2027, which can be seen for free on our platform here.

We don't want to rain on the parade too much, but we did also find 2 warning signs for Bokusgruppen that you need to be mindful 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.