Global Industrial Company (NYSE:GIC) Just Released Its Annual Results And Analysts Are Updating Their Estimates

As you might know, Global Industrial Company (NYSE:GIC) recently reported its yearly numbers. Results were roughly in line with estimates, with revenues of US$1.3b and statutory earnings per share of US$1.58. 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. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year.

Check out our latest analysis for Global Industrial

Following the latest results, Global Industrial's two analysts are now forecasting revenues of US$1.34b in 2025. This would be an okay 2.2% improvement in revenue compared to the last 12 months. Statutory earnings per share are forecast to reduce 3.0% to US$1.54 in the same period. In the lead-up to this report, the analysts had been modelling revenues of US$1.37b and earnings per share (EPS) of US$1.71 in 2025. The analysts seem to have become a little more negative on the business after the latest results, given the small dip in their earnings per share numbers for next year.

The consensus price target held steady at US$38.00, with the analysts seemingly voting that their lower forecast earnings are not expected to lead to a lower stock price in the foreseeable future.

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 Global Industrial's revenue growth will slow down substantially, with revenues to the end of 2025 expected to display 2.2% growth on an annualised basis. This is compared to a historical growth rate of 7.3% over the past five years. Compare this against other companies (with analyst forecasts) in the industry, which are in aggregate expected to see revenue growth of 5.4% annually. Factoring in the forecast slowdown in growth, it seems obvious that Global Industrial is also expected to grow slower than other industry participants.

The Bottom Line

The biggest concern is that the analysts reduced their earnings per share estimates, suggesting business headwinds could lay ahead for Global Industrial. Fortunately, the analysts also reconfirmed their revenue estimates, suggesting that it's tracking in line with expectations. Although our data does suggest that Global Industrial's revenue is expected to perform worse than the wider industry. The consensus price target held steady at US$38.00, with the latest estimates not enough to have an impact on their price targets.

With that in mind, we wouldn't be too quick to come to a conclusion on Global Industrial. Long-term earnings power is much more important than next year's profits. We have analyst estimates for Global Industrial going out as far as 2026, and you can see them free on our platform here.

You can also see our analysis of Global Industrial's Board and CEO remuneration and experience, and whether company insiders have been buying stock.

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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.