Industry Analysts Just Upgraded Their First Hawaiian, Inc. (NASDAQ:FHB) Revenue Forecasts By 33%

Shareholders in First Hawaiian, Inc. (NASDAQ:FHB) may be thrilled to learn that the analysts have just delivered a major upgrade to their near-term forecasts. The analysts have sharply increased their revenue numbers, with a view that First Hawaiian will make substantially more sales than they'd previously expected.

Following this upgrade, First Hawaiian's six analysts are forecasting 2024 revenues to be US$814m, approximately in line with the last 12 months. Statutory earnings per share are anticipated to drop 18% to US$1.71 in the same period. Before this latest update, the analysts had been forecasting revenues of US$613m and earnings per share (EPS) of US$1.71 in 2024. There's clearly been a surge in bullishness around the company's sales pipeline, even if there's no real change in earnings per share forecasts.

View our latest analysis for First Hawaiian

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 sales are expected to reverse, with a forecast 0.9% annualised revenue decline to the end of 2024. That is a notable change from historical growth of 2.8% over the last five years. Compare this with our data, which suggests that other companies in the same industry are, in aggregate, expected to see their revenue grow 4.4% per year. It's pretty clear that First Hawaiian's revenues are expected to perform substantially worse than the wider industry.

The Bottom Line

The most important thing to take away is that there's been no major change in sentiment, with analysts reconfirming that earnings per share are expected to continue performing in line with their prior expectations. Fortunately, they also upgraded their revenue estimates, and are forecasting revenues to grow slower than the wider market. Seeing the dramatic upgrade to next year's forecasts, it might be time to take another look at First Hawaiian.

Even so, the longer term trajectory of the business is much more important for the value creation of shareholders. We have estimates - from multiple First Hawaiian analysts - going out to 2025, and you can see them free on our platform here.

Of course, seeing company management invest large sums of money in a stock can be just as useful as knowing whether analysts are upgrading their estimates. So you may also wish to search this free list of stocks that insiders are buying.

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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.