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Analyst Estimates: Here's What Brokers Think Of Bredband2 i Skandinavien AB (publ) (STO:BRE2) After Its Yearly Report

Simply Wall St

Last week, you might have seen that Bredband2 i Skandinavien AB (publ) (STO:BRE2) released its full-year result to the market. The early response was not positive, with shares down 4.3% to kr1.98 in the past week. Bredband2 i Skandinavien reported kr1.7b in revenue, roughly in line with analyst forecasts, although statutory earnings per share (EPS) of kr0.11 beat expectations, being 3.6% higher than what the analysts 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. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.

Check out our latest analysis for Bredband2 i Skandinavien

OM:BRE2 Earnings and Revenue Growth February 9th 2025

Taking into account the latest results, the current consensus from Bredband2 i Skandinavien's three analysts is for revenues of kr1.84b in 2025. This would reflect a credible 6.2% increase on its revenue over the past 12 months. Per-share earnings are expected to climb 14% to kr0.13. Yet prior to the latest earnings, the analysts had been anticipated revenues of kr1.80b and earnings per share (EPS) of kr0.14 in 2025. So it looks like there's been a small decline in overall sentiment after the recent results - there's been no major change to revenue estimates, but the analysts did make a minor downgrade to their earnings per share forecasts.

It might be a surprise to learn that the consensus price target was broadly unchanged at kr2.30, with the analysts clearly implying that the forecast decline in earnings is not expected to have much of an impact on valuation.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Bredband2 i Skandinavien's past performance and to peers in the same industry. It's pretty clear that there is an expectation that Bredband2 i Skandinavien's revenue growth will slow down substantially, with revenues to the end of 2025 expected to display 6.2% growth on an annualised basis. This is compared to a historical growth rate of 17% over the past five years. Juxtapose this against the other companies in the industry with analyst coverage, which are forecast to grow their revenues (in aggregate) 2.0% per year. Even after the forecast slowdown in growth, it seems obvious that Bredband2 i Skandinavien is also expected to grow faster than the wider industry.

The Bottom Line

The biggest concern is that the analysts reduced their earnings per share estimates, suggesting business headwinds could lay ahead for Bredband2 i Skandinavien. Fortunately, they also reconfirmed their revenue numbers, suggesting that it's tracking in line with expectations. Additionally, our data suggests that revenue is expected to grow faster than the wider industry. The consensus price target held steady at kr2.30, 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 Simply Wall St, we have a full range of analyst estimates for Bredband2 i Skandinavien going out to 2027, and you can see them free on our platform here..

You can also see our analysis of Bredband2 i Skandinavien's Board and CEO remuneration and experience, and whether company insiders have been buying stock.

Valuation is complex, but we're here to simplify it.

Discover if Bredband2 i Skandinavien might be undervalued or overvalued with our detailed analysis, featuring fair value estimates, potential risks, dividends, insider trades, and its financial condition.

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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.