Analysts Are Updating Their Service Corporation International (NYSE:SCI) Estimates After Its Third-Quarter Results

It's been a good week for Service Corporation International (NYSE:SCI) shareholders, because the company has just released its latest quarterly results, and the shares gained 2.3% to US$83.51. Results were roughly in line with estimates, with revenues of US$1.1b and statutory earnings per share of US$0.83. 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. We've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.

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Following the latest results, Service Corporation International's five analysts are now forecasting revenues of US$4.46b in 2026. This would be a satisfactory 4.0% improvement in revenue compared to the last 12 months. Per-share earnings are expected to step up 11% to US$4.24. Yet prior to the latest earnings, the analysts had been anticipated revenues of US$4.45b and earnings per share (EPS) of US$4.23 in 2026. 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.

View our latest analysis for Service Corporation International

There were no changes to revenue or earnings estimates or the price target of US$95.40, suggesting that the company has met expectations in its recent result. 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 Service Corporation International at US$100.00 per share, while the most bearish prices it at US$90.00. Still, with such a tight range of estimates, it suggeststhe analysts have a pretty good idea of what they think the company is worth.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Service Corporation International's past performance and to peers in the same industry. The analysts are definitely expecting Service Corporation International's growth to accelerate, with the forecast 3.2% annualised growth to the end of 2026 ranking favourably alongside historical growth of 2.6% per annum over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 10% per year. So it's clear that despite the acceleration in growth, Service Corporation International is expected to grow meaningfully slower than the industry average.

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. Fortunately, the analysts also reconfirmed their revenue estimates, suggesting that it's tracking in line with expectations. Although our data does suggest that Service Corporation International's revenue is expected to perform worse than the wider industry. The consensus price target held steady at US$95.40, 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 estimates - from multiple Service Corporation International analysts - going out to 2027, and you can see them free on our platform here.

Don't forget that there may still be risks. For instance, we've identified 3 warning signs for Service Corporation International (1 can't be ignored) 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.