John Wiley & Sons, Inc. (NYSE:WLY) Analysts Are Pretty Bullish On The Stock After Recent Results

There's been a notable change in appetite for John Wiley & Sons, Inc. (NYSE:WLY) shares in the week since its quarterly report, with the stock down 12% to US$45.70. Following the result, the analyst has 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. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analyst has changed their mind on John Wiley & Sons after the latest results.

Check out our latest analysis for John Wiley & Sons

Following the recent earnings report, the consensus from sole analyst covering John Wiley & Sons is for revenues of US$1.67b in 2025. This implies a noticeable 5.3% decline in revenue compared to the last 12 months. Earnings are expected to improve, with John Wiley & Sons forecast to report a statutory profit of US$2.27 per share. In the lead-up to this report, the analyst had been modelling revenues of US$1.67b and earnings per share (EPS) of US$2.33 in 2025. So it looks like there's been a small decline in overall sentiment after the recent results - there's been no major change to revenue estimates, but the analyst did make a minor downgrade to their earnings per share forecasts.

Althoughthe analyst has revised their earnings forecasts for next year, they've also lifted the consensus price target 9.4% to US$58.00, suggesting the revised estimates are not indicative of a weaker long-term future for the business.

Of course, another way to look at these forecasts is to place them into context against the industry itself. We would highlight that revenue is expected to reverse, with a forecast 10% annualised decline to the end of 2025. That is a notable change from historical growth of 0.4% over the last five years. Compare this with our data, which suggests that other companies in the same industry are, in aggregate, expected to see their revenue grow 3.9% per year. It's pretty clear that John Wiley & Sons' revenues are expected to perform substantially worse than the wider industry.

The Bottom Line

The biggest concern is that the analyst reduced their earnings per share estimates, suggesting business headwinds could lay ahead for John Wiley & Sons. On the plus side, there were no major changes to revenue estimates; although forecasts imply they will perform worse than the wider industry. We note an upgrade to the price target, suggesting that the analyst believes the intrinsic value of the business is likely to improve over time.

Following on from that line of thought, we think that the long-term prospects of the business are much more relevant than next year's earnings. At least one analyst has provided forecasts out to 2026, which can be seen for free on our platform here.

That said, it's still necessary to consider the ever-present spectre of investment risk. We've identified 2 warning signs with John Wiley & Sons , and understanding them should be part of your investment process.

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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.