First Northwest Bancorp Just Beat Earnings Expectations: Here's What Analysts Think Will Happen Next

As you might know, First Northwest Bancorp (NASDAQ:FNWB) just kicked off its latest full-year results with some very strong numbers. First Northwest Bancorp beat earnings, with revenues hitting US$73m, ahead of expectations, and statutory earnings per share outperforming analyst reckonings by a solid 14%. 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. So we gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.

Check out our latest analysis for First Northwest Bancorp

Taking into account the latest results, the current consensus from First Northwest Bancorp's dual analysts is for revenues of US$80.1m in 2022, which would reflect a notable 10% increase on its sales over the past 12 months. Statutory earnings per share are expected to crater 22% to US$1.33 in the same period. In the lead-up to this report, the analysts had been modelling revenues of US$75.6m and earnings per share (EPS) of US$1.33 in 2022. There doesn't appear to have been a major change in sentiment following the results, other than the slight bump in revenue estimates.

Even though revenue forecasts increased, there was no change to the consensus price target of US$22.25, suggesting the analysts are focused on earnings as the driver of value creation.

Taking a look at the bigger picture now, one of the ways we can understand these forecasts is to see how they compare to both past performance and industry growth estimates. We would highlight that First Northwest Bancorp's revenue growth is expected to slow, with the forecast 10% annualised growth rate until the end of 2022 being well below the historical 14% p.a. growth over the last five years. Juxtapose this against the other companies in the industry with analyst coverage, which are forecast to grow their revenues (in aggregate) 4.9% per year. Even after the forecast slowdown in growth, it seems obvious that First Northwest Bancorp is also expected to grow faster 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 the analysts reconfirming that the business is performing in line with their previous earnings per share estimates. Pleasantly, they also upgraded their revenue estimates, and their forecasts suggest the business is expected to grow faster than the wider industry. The consensus price target held steady at US$22.25, 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. We have analyst estimates for First Northwest Bancorp going out as far as 2023, and you can see them free on our platform here.

Plus, you should also learn about the 1 warning sign we've spotted with First Northwest Bancorp .

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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.