Boise Cascade Company (NYSE:BCC) Just Released Its Third-Quarter Earnings: Here's What Analysts Think

Investors in Boise Cascade Company (NYSE:BCC) had a good week, as its shares rose 5.2% to close at US$138 following the release of its third-quarter results. It was a credible result overall, with revenues of US$1.7b and statutory earnings per share of US$2.33 both in line with analyst estimates, showing that Boise Cascade is executing in line with expectations. Following the result, the analysts have updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.

See our latest analysis for Boise Cascade

Taking into account the latest results, the consensus forecast from Boise Cascade's six analysts is for revenues of US$7.07b in 2025. This reflects a satisfactory 4.0% improvement in revenue compared to the last 12 months. Statutory per share are forecast to be US$10.33, approximately in line with the last 12 months. In the lead-up to this report, the analysts had been modelling revenues of US$7.14b and earnings per share (EPS) of US$10.44 in 2025. The consensus analysts don't seem to have seen anything in these results that would have changed their view on the business, given there's been no major change to their estimates.

It will come as no surprise then, to learn that the consensus price target is largely unchanged at US$146. The consensus price target is just an average of individual analyst targets, so - it could be handy to see how wide the range of underlying estimates is. The most optimistic Boise Cascade analyst has a price target of US$161 per share, while the most pessimistic values it at US$127. Still, with such a tight range of estimates, it suggeststhe analysts have a pretty good idea of what they think the company is worth.

Of course, another way to look at these forecasts is to place them into context against the industry itself. It's pretty clear that there is an expectation that Boise Cascade's revenue growth will slow down substantially, with revenues to the end of 2025 expected to display 3.2% growth on an annualised basis. This is compared to a historical growth rate of 8.0% over the past five years. By way of comparison, the other companies in this industry with analyst coverage are forecast to grow their revenue at 5.4% per year. So it's pretty clear that, while revenue growth is expected to slow down, the wider industry is also expected to grow faster than Boise Cascade.

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 they will perform worse than the wider industry. The consensus price target held steady at US$146, with the latest estimates not enough to have an impact on their price targets.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have forecasts for Boise Cascade going out to 2026, and you can see them free on our platform here.

However, before you get too enthused, we've discovered 1 warning sign for Boise Cascade that you should be aware of.

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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.