RugVista Group AB (publ) Just Beat EPS By 23%: Here's What Analysts Think Will Happen Next

The quarterly results for RugVista Group AB (publ) (STO:RUG) were released last week, making it a good time to revisit its performance. Revenues of kr145m fell slightly short of expectations, but earnings were a definite bright spot, with statutory per-share profits of kr0.38 an impressive 23% ahead of estimates. 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. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analysts have changed their mind on RugVista Group after the latest results.

View our latest analysis for RugVista Group

After the latest results, the two analysts covering RugVista Group are now predicting revenues of kr744.8m in 2025. If met, this would reflect a meaningful 9.0% improvement in revenue compared to the last 12 months. Per-share earnings are expected to surge 50% to kr3.76. Before this earnings report, the analysts had been forecasting revenues of kr765.2m and earnings per share (EPS) of kr4.29 in 2025. The analysts seem less optimistic after the recent results, reducing their revenue forecasts and making a substantial drop in earnings per share numbers.

Despite the cuts to forecast earnings, there was no real change to the kr58.50 price target, showing that the analysts don't think the changes have a meaningful impact on its intrinsic value.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the RugVista Group's past performance and to peers in the same industry. It's clear from the latest estimates that RugVista Group's rate of growth is expected to accelerate meaningfully, with the forecast 7.2% annualised revenue growth to the end of 2025 noticeably faster than its historical growth of 4.9% p.a. over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 4.4% per year. It seems obvious that, while the growth outlook is brighter than the recent past, the analysts also expect RugVista Group 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. They also downgraded RugVista Group's revenue estimates, but industry data suggests that it is expected to grow faster than the wider industry. The consensus price target held steady at kr58.50, with the latest estimates not enough to have an impact on their price targets.

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 2026, which can be seen for free on our platform here.

That said, it's still necessary to consider the ever-present spectre of investment risk. We've identified 3 warning signs with RugVista Group , and understanding them should be part of your investment process.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

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.