Sasseur Real Estate Investment Trust Earnings Missed Analyst Estimates: Here's What Analysts Are Forecasting Now

As you might know, Sasseur Real Estate Investment Trust (SGX:CRPU) recently reported its full-year numbers. Sales of S$125m surpassed estimates by 5.4%, although statutory earnings per share missed badly, coming in 29% below expectations at S$0.039 per share. 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. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.

Check out our latest analysis for Sasseur Real Estate Investment Trust

Following last week's earnings report, Sasseur Real Estate Investment Trust's five analysts are forecasting 2021 revenues to be S$125.8m, approximately in line with the last 12 months. Per-share earnings are expected to soar 52% to S$0.059. In the lead-up to this report, the analysts had been modelling revenues of S$126.5m and earnings per share (EPS) of S$0.059 in 2021. 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.

The analysts reconfirmed their price target of S$0.94, showing that the business is executing well and in line with expectations. There's another way to think about price targets though, and that's to look at the range of price targets put forward by analysts, because a wide range of estimates could suggest a diverse view on possible outcomes for the business. There are some variant perceptions on Sasseur Real Estate Investment Trust, with the most bullish analyst valuing it at S$1.00 and the most bearish at S$0.89 per share. With such a narrow range of valuations, the analysts apparently share similar views on what they think the business is worth.

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. We would highlight that Sasseur Real Estate Investment Trust's revenue growth is expected to slow, with forecast 0.4% increase next year well below the historical 6.2% growth over the last year. Compare this against other companies (with analyst forecasts) in the industry, which are in aggregate expected to see revenue growth of 8.2% next year. Factoring in the forecast slowdown in growth, it seems obvious that Sasseur Real Estate Investment Trust is also expected to grow slower than other industry participants.

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. On the plus side, there were no major changes to revenue estimates; although forecasts imply revenues will perform worse than the wider industry. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.

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. At Simply Wall St, we have a full range of analyst estimates for Sasseur Real Estate Investment Trust going out to 2023, and you can see them free on our platform here..

Plus, you should also learn about the 4 warning signs we've spotted with Sasseur Real Estate Investment Trust (including 1 which doesn't sit too well with us) .

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This article by Simply Wall St is general in nature. 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.
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