Broker Revenue Forecasts For Kontron AG (ETR:SANT) Are Surging Higher
Celebrations may be in order for Kontron AG (ETR:SANT) shareholders, with the analysts delivering a significant upgrade to their statutory estimates for the company. The revenue forecast for this year has experienced a facelift, with analysts now much more optimistic on its sales pipeline.
After this upgrade, Kontron’s seven analysts are now forecasting revenues of €1.7b in 2024. This would be a sizeable 35% improvement in sales compared to the last 12 months. Statutory earnings per share are presumed to expand 17% to €1.43. Before this latest update, the analysts had been forecasting revenues of €1.4b and earnings per share (EPS) of €1.42 in 2024. There’s clearly been a surge in bullishness around the company’s sales pipeline, even if there’s no real change in earnings per share forecasts.
Check out our latest analysis for Kontron
These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Kontron’s past performance and to peers in the same industry. It’s clear from the latest estimates that Kontron’s rate of growth is expected to accelerate meaningfully, with the forecast 35% annualised revenue growth to the end of 2024 noticeably faster than its historical growth of 1.3% p.a. 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 8.7% per year. It seems obvious that, while the growth outlook is brighter than the recent past, the analysts also expect Kontron to grow faster than the wider industry.
The Bottom Line
The most obvious conclusion from this consensus update is that there’s been no major change in the business’ prospects in recent times, with analysts holding earnings per share steady, in line with previous estimates. Fortunately, analysts also upgraded their revenue estimates, and our data indicates sales are expected to perform better than the wider market. Seeing the dramatic upgrade to this year’s forecasts, it might be time to take another look at Kontron.
Still, the long-term prospects of the business are much more relevant than next year’s earnings. We have estimates – from multiple Kontron analysts – going out to 2026, 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.
