Wallbox N.V. (NYSE:WBX) Analysts Just Slashed This Year's Revenue Estimates By 12%

Market forces rained on the parade of Wallbox N.V. (NYSE:WBX) shareholders today, when the analysts downgraded their forecasts for this year. This report focused on revenue estimates, and it looks as though the consensus view of the business has become substantially more conservative.

Following the downgrade, the current consensus from Wallbox's nine analysts is for revenues of €300m in 2023 which - if met - would reflect a sizeable 168% increase on its sales over the past 12 months. Prior to the latest estimates, the analysts were forecasting revenues of €340m in 2023. The consensus view seems to have become more pessimistic on Wallbox, noting the measurable cut to revenue estimates in this update.

View our latest analysis for Wallbox

Notably, the analysts have cut their price target 10% to US$10.70, suggesting concerns around Wallbox's valuation. There's another way to think about price targets though, and that's to look at the range of price targets put forward by analysts, because a wide range of estimates could suggest a diverse view on possible outcomes for the business. There are some variant perceptions on Wallbox, with the most bullish analyst valuing it at US$14.00 and the most bearish at US$6.00 per share. Note the wide gap in analyst price targets? This implies to us that there is a fairly broad range of possible scenarios for the underlying business.

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. The period to the end of 2023 brings more of the same, according to the analysts, with revenue forecast to display 168% growth on an annualised basis. That is in line with its 173% annual growth over the past year. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to see their revenues grow 9.0% per year. So it's pretty clear that Wallbox is forecast to grow substantially faster than its industry.

The Bottom Line

The clear low-light was that analysts slashing their revenue forecasts for Wallbox this year. Analysts also expect revenues to grow faster than the wider market. Furthermore, there was a cut to the price target, suggesting that the latest news has led to more pessimism about the intrinsic value of the business. Often, one downgrade can set off a daisy-chain of cuts, especially if an industry is in decline. So we wouldn't be surprised if the market became a lot more cautious on Wallbox after today.

Unsatisfied? At least one of Wallbox's nine analysts has provided estimates out to 2025, which can be seen for 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 downgrading their estimates. So you may also wish to search this free list of stocks that insiders are buying.

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