New Forecasts: Here's What Analysts Think The Future Holds For Intellego Technologies AB (STO:INT)

Shareholders in Intellego Technologies AB (STO:INT) may be thrilled to learn that the covering analyst has just delivered a major upgrade to their near-term forecasts. Consensus estimates suggest investors could expect greatly increased statutory revenues and earnings per share, with the analyst modelling a real improvement in business performance. Intellego Technologies has also found favour with investors, with the stock up an impressive 11% to kr130 over the past week. Could this upgrade be enough to drive the stock even higher?

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After the upgrade, the sole analyst covering Intellego Technologies is now predicting revenues of kr820m in 2025. If met, this would reflect a sizeable 110% improvement in sales compared to the last 12 months. Statutory earnings per share are presumed to surge 143% to kr10.06. Previously, the analyst had been modelling revenues of kr700m and earnings per share (EPS) of kr7.31 in 2025. There has definitely been an improvement in perception recently, with the analyst substantially increasing both their earnings and revenue estimates.

Check out our latest analysis for Intellego Technologies

With these upgrades, we're not surprised to see that the analyst has lifted their price target 36% to kr170 per share.

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. The analyst is definitely expecting Intellego Technologies' growth to accelerate, with the forecast 169% annualised growth to the end of 2025 ranking favourably alongside historical growth of 73% per annum 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 6.6% per year. Factoring in the forecast acceleration in revenue, it's pretty clear that Intellego Technologies is expected to grow much faster than its industry.

The Bottom Line

The most important thing to take away from this upgrade is that the analyst upgraded their earnings per share estimates for this year, expecting improving business conditions. Fortunately, the analyst also upgraded their revenue estimates, and our data indicates sales are expected to perform better than the wider market. Given that the consensus looks almost universally bullish, with a substantial increase to forecasts and a higher price target, Intellego Technologies could be worth investigating further.

The covering analyst is clearly in love with Intellego Technologies at the moment, but before diving in - you should be aware that we've identified some warning flags with the business, such as concerns around earnings quality. You can learn more, and discover the 2 other flags we've identified, for free on our platform here.

Another way to search for interesting companies that could be reaching an inflection point is to track whether management are buying or selling, with our free list of growing companies backed by insiders.

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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.