Earnings Update: NOTE AB (publ) (STO:NOTE) Just Reported Its Annual Results And Analysts Are Updating Their Forecasts

NOTE AB (publ) (STO:NOTE) came out with its yearly results last week, and we wanted to see how the business is performing and what industry forecasters think of the company following this report. The result was positive overall - although revenues of kr3.8b were in line with what the analysts predicted, NOTE surprised by delivering a statutory profit of kr9.89 per share, modestly greater than expected. 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. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analysts have changed their mind on NOTE after the latest results.

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Taking into account the latest results, the consensus forecast from NOTE's dual analysts is for revenues of kr4.20b in 2026. This reflects a solid 10% improvement in revenue compared to the last 12 months. Per-share earnings are expected to step up 15% to kr11.29. Before this earnings report, the analysts had been forecasting revenues of kr4.30b and earnings per share (EPS) of kr11.75 in 2026. The analysts are less bullish than they were before these results, given the reduced revenue forecasts and the small dip in earnings per share expectations.

See our latest analysis for NOTE

The analysts made no major changes to their price target of kr200, suggesting the downgrades are not expected to have a long-term impact on NOTE's valuation.

Of course, another way to look at these forecasts is to place them into context against the industry itself. The period to the end of 2026 brings more of the same, according to the analysts, with revenue forecast to display 10% growth on an annualised basis. That is in line with its 12% annual growth over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to see their revenues grow 6.5% per year. So it's pretty clear that NOTE is forecast to grow substantially faster than its 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 NOTE'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 kr200, with the latest estimates not enough to have an impact on their price targets.

Following on from that line of thought, we think that the long-term prospects of the business are much more relevant than next year's earnings. We have analyst estimates for NOTE going out as far as 2028, and you can see them free on our platform here.

You can also see whether NOTE is carrying too much debt, and whether its balance sheet is healthy, for free on our 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.