Fluence Energy, Inc. Beat Analyst Profit Forecasts, And Analysts Have New Estimates

Shareholders of Fluence Energy, Inc. (NASDAQ:FLNC) will be pleased this week, given that the stock price is up 11% to US$16.25 following its latest quarterly results. Fluence Energy beat expectations by 4.4% with revenues of US$483m. It also surprised on the earnings front, with an unexpected statutory profit of US$0.01 per share a nice improvement on the losses that the analysts forecast. 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. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analysts have changed their mind on Fluence Energy after the latest results.

Check out our latest analysis for Fluence Energy

Taking into account the latest results, the most recent consensus for Fluence Energy from 24 analysts is for revenues of US$3.94b in 2025. If met, it would imply a sizeable 84% increase on its revenue over the past 12 months. Earnings are expected to improve, with Fluence Energy forecast to report a statutory profit of US$0.65 per share. In the lead-up to this report, the analysts had been modelling revenues of US$3.92b and earnings per share (EPS) of US$0.62 in 2025. So the consensus seems to have become somewhat more optimistic on Fluence Energy's earnings potential following these results.

There's been no major changes to the consensus price target of US$27.54, suggesting that the improved earnings per share outlook is not enough to have a long-term positive impact on the stock's valuation. That's not the only conclusion we can draw from this data however, as some investors also like to consider the spread in estimates when evaluating analyst price targets. Currently, the most bullish analyst values Fluence Energy at US$47.00 per share, while the most bearish prices it at US$15.00. With such a wide range in price targets, analysts are almost certainly betting on widely divergent outcomes in the underlying business. With this in mind, we wouldn't rely too heavily the consensus price target, as it is just an average and analysts clearly have some deeply divergent views on the business.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Fluence Energy's past performance and to peers in the same industry. The analysts are definitely expecting Fluence Energy's growth to accelerate, with the forecast 63% annualised growth to the end of 2025 ranking favourably alongside historical growth of 39% per annum over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 8.0% annually. It seems obvious that, while the growth outlook is brighter than the recent past, the analysts also expect Fluence Energy to grow faster than the wider industry.

The Bottom Line

The most important thing here is that the analysts upgraded their earnings per share estimates, suggesting that there has been a clear increase in optimism towards Fluence Energy following these results. 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. 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.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have estimates - from multiple Fluence Energy analysts - going out to 2026, and you can see them free on our platform here.

Before you take the next step you should know about the 2 warning signs for Fluence Energy that we have uncovered.

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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.