Aurubis AG Earnings Missed Analyst Estimates: Here's What Analysts Are Forecasting Now
Aurubis AG (ETR:NDA) last week reported its latest annual results, which makes it a good time for investors to dive in and see if the business is performing in line with expectations. It looks like a pretty bad result, all things considered. Although revenues of €17b were in line with analyst predictions, statutory earnings fell badly short, missing estimates by 45% to hit €3.23 per share. 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. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analysts have changed their mind on Aurubis after the latest results.
Check out our latest analysis for Aurubis
After the latest results, the seven analysts covering Aurubis are now predicting revenues of €17.5b in 2024. If met, this would reflect a satisfactory 2.4% improvement in revenue compared to the last 12 months. Per-share earnings are expected to bounce 163% to €8.48. Yet prior to the latest earnings, the analysts had been anticipated revenues of €17.7b and earnings per share (EPS) of €8.40 in 2024. 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.
The analysts reconfirmed their price target of €86.44, showing that the business is executing well and in line with expectations. There's another way to think about price targets though, and that's to look at the range of price targets put forward by analysts, because a wide range of estimates could suggest a diverse view on possible outcomes for the business. There are some variant perceptions on Aurubis, with the most bullish analyst valuing it at €110 and the most bearish at €60.00 per share. As you can see, analysts are not all in agreement on the stock's future, but the range of estimates is still reasonably narrow, which could suggest that the outcome is not totally unpredictable.
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 Aurubis' revenue growth is expected to slow, with the forecast 2.4% annualised growth rate until the end of 2024 being well below the historical 13% p.a. growth over the last five years. Compare this with other companies in the same industry, which are forecast to see a revenue decline of 0.09% annually. So it's clear that despite the slowdown in growth, Aurubis is still expected to grow meaningfully faster than the wider industry.
The Bottom Line
The most important thing to take away is that there's been no major change in sentiment, with the analysts reconfirming that the business is performing in line with their previous earnings per share estimates. Fortunately, they also reconfirmed their revenue estimates, suggesting that it's tracking in line with expectations. Their estimates also suggest that Aurubis' revenue is expected to perform better than the wider industry. The consensus price target held steady at €86.44, with the latest estimates not enough to have an impact on their price targets.
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. We have forecasts for Aurubis going out to 2026, and you can see them free on our platform here.
Plus, you should also learn about the 3 warning signs we've spotted with Aurubis .
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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.
