Sensient Technologies Corporation (NYSE:SXT) Just Released Its Third-Quarter Earnings: Here's What Analysts Think

Shareholders might have noticed that Sensient Technologies Corporation (NYSE:SXT) filed its quarterly result this time last week. The early response was not positive, with shares down 3.3% to US$91.28 in the past week. The result was positive overall - although revenues of US$412m were in line with what the analysts predicted, Sensient Technologies surprised by delivering a statutory profit of US$0.87 per share, modestly greater than expected. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. 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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Taking into account the latest results, the consensus forecast from Sensient Technologies' three analysts is for revenues of US$1.71b in 2026. This reflects an okay 7.4% improvement in revenue compared to the last 12 months. Per-share earnings are expected to leap 21% to US$3.96. In the lead-up to this report, the analysts had been modelling revenues of US$1.70b and earnings per share (EPS) of US$3.97 in 2026. So it's pretty clear that, although the analysts have updated their estimates, there's been no major change in expectations for the business following the latest results.

See our latest analysis for Sensient Technologies

It will come as no surprise then, to learn that the consensus price target is largely unchanged at US$122. 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 Sensient Technologies analyst has a price target of US$126 per share, while the most pessimistic values it at US$115. Still, with such a tight range of estimates, it suggeststhe analysts have a pretty good idea of what they think the company is worth.

Looking at the bigger picture now, one of the ways we can make sense of these forecasts is to see how they measure up against both past performance and industry growth estimates. The analysts are definitely expecting Sensient Technologies' growth to accelerate, with the forecast 5.8% annualised growth to the end of 2026 ranking favourably alongside historical growth of 3.7% per annum over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 4.3% annually. Factoring in the forecast acceleration in revenue, it's pretty clear that Sensient Technologies is expected to grow much faster than its industry.

The Bottom Line

The most obvious conclusion is that there's been no major change in the business' prospects in recent times, with the analysts holding their earnings forecasts steady, in line with previous estimates. 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 in mind, we wouldn't be too quick to come to a conclusion on Sensient Technologies. Long-term earnings power is much more important than next year's profits. At Simply Wall St, we have a full range of analyst estimates for Sensient Technologies going out to 2027, and you can see them free on our platform here..

You should always think about risks though. Case in point, we've spotted 2 warning signs for Sensient Technologies you should be aware of, and 1 of them is potentially serious.

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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.