Earnings Beat: One Liberty Properties, Inc. Just Beat Analyst Forecasts, And Analysts Have Been Updating Their Models

Investors in One Liberty Properties, Inc. (NYSE:OLP) had a good week, as its shares rose 6.5% to close at US$28.44 following the release of its third-quarter results. It looks like a credible result overall - although revenues of US$22m were what the analysts expected, One Liberty Properties surprised by delivering a (statutory) profit of US$0.23 per share, an impressive 64% above what was forecast. 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. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.

Check out our latest analysis for One Liberty Properties

After the latest results, the two analysts covering One Liberty Properties are now predicting revenues of US$91.8m in 2025. If met, this would reflect a satisfactory 3.0% improvement in revenue compared to the last 12 months. Statutory earnings per share are forecast to plunge 66% to US$0.54 in the same period. Before this earnings report, the analysts had been forecasting revenues of US$91.8m and earnings per share (EPS) of US$0.53 in 2025. 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.

The consensus price target rose 5.9% to US$26.75despite there being no meaningful change to earnings estimates. It could be that the analystsare reflecting the predictability of One Liberty Properties' earnings by assigning a price premium.

Of course, another way to look at these forecasts is to place them into context against the industry itself. We can infer from the latest estimates that forecasts expect a continuation of One Liberty Properties'historical trends, as the 2.4% annualised revenue growth to the end of 2025 is roughly in line with the 2.5% annual growth over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to see their revenues grow 3.8% per year. So although One Liberty Properties is expected to maintain its revenue growth rate, it's forecast to grow slower than the wider 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, the analysts also reconfirmed their revenue estimates, suggesting that it's tracking in line with expectations. Although our data does suggest that One Liberty Properties' revenue is expected to perform worse than the wider industry. We note an upgrade to the price target, suggesting that the analysts believes the intrinsic value of the business is likely to improve over time.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have analyst estimates for One Liberty Properties going out as far as 2026, and you can see them free on our platform here.

Before you take the next step you should know about the 4 warning signs for One Liberty Properties (2 are potentially serious!) that we have uncovered.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

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.