Analysts Just Made An Upgrade To Their D-Market Elektronik Hizmetler ve Ticaret A.S. (NASDAQ:HEPS) Forecasts

D-Market Elektronik Hizmetler ve Ticaret A.S. (NASDAQ:HEPS) shareholders will have a reason to smile today, with the analysts making substantial upgrades to this year's forecasts. The consensus statutory numbers for both revenue and earnings per share (EPS) increased, with their view clearly much more bullish on the company's business prospects.

Following the upgrade, the current consensus from D-Market Elektronik Hizmetler ve Ticaret's three analysts is for revenues of ₺25b in 2023 which - if met - would reflect a huge 35% increase on its sales over the past 12 months. Losses are expected to turn into profits real soon, with the analysts forecasting ₺0.25 in per-share earnings. However, before this estimates update, the consensus had been expecting revenues of ₺23b and ₺1.54 per share in losses. It looks like there's been a definite improvement in business conditions, with a revenue upgrade supposed to lead to profitability sooner than previously forecast.

Check out our latest analysis for D-Market Elektronik Hizmetler ve Ticaret

It will come as no surprise to learn that the analysts have increased their price target for D-Market Elektronik Hizmetler ve Ticaret 5.1% to ₺85.65 on the back of these upgrades. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. There are some variant perceptions on D-Market Elektronik Hizmetler ve Ticaret, with the most bullish analyst valuing it at ₺127 and the most bearish at ₺60.59 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.

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. We would highlight that D-Market Elektronik Hizmetler ve Ticaret's revenue growth is expected to slow, with the forecast 35% annualised growth rate until the end of 2023 being well below the historical 137% growth over the last year. Juxtapose this against the other companies in the industry with analyst coverage, which are forecast to grow their revenues (in aggregate) 11% per year. Even after the forecast slowdown in growth, it seems obvious that D-Market Elektronik Hizmetler ve Ticaret is also expected to grow faster than the wider industry.

The Bottom Line

The most important thing to take away from this upgrade is that there is now an expectation for D-Market Elektronik Hizmetler ve Ticaret to become profitable this year, compared to previous expectations of a loss. They also upgraded their revenue estimates for this year, and sales are expected to grow faster than the wider market. With a serious upgrade to expectations and a rising price target, it might be time to take another look at D-Market Elektronik Hizmetler ve Ticaret.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. At Simply Wall St, we have a full range of analyst estimates for D-Market Elektronik Hizmetler ve Ticaret going out to 2025, and you can see them free on our platform here..

Another way to search for interesting companies that could be reaching an inflection point is to track whether management are buying or selling, with our free list of growing companies that insiders are buying.

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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.