Here's What Analysts Are Forecasting For Jones Lang LaSalle Incorporated (NYSE:JLL) After Its Yearly Results
It's been a good week for Jones Lang LaSalle Incorporated (NYSE:JLL) shareholders, because the company has just released its latest yearly results, and the shares gained 3.1% to US$190. The result was positive overall - although revenues of US$21b were in line with what the analysts predicted, Jones Lang LaSalle surprised by delivering a statutory profit of US$4.67 per share, modestly greater than expected. The analysts typically update their forecasts at each earnings report, and we can judge from their estimates whether their view of the company has changed or if there are any new concerns to be aware of. We've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.
Check out our latest analysis for Jones Lang LaSalle
After the latest results, the six analysts covering Jones Lang LaSalle are now predicting revenues of US$22.0b in 2024. If met, this would reflect a reasonable 5.9% improvement in revenue compared to the last 12 months. Per-share earnings are expected to leap 130% to US$10.94. In the lead-up to this report, the analysts had been modelling revenues of US$21.8b and earnings per share (EPS) of US$10.78 in 2024. 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.
It will come as no surprise then, to learn that the consensus price target is largely unchanged at US$199. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. The most optimistic Jones Lang LaSalle analyst has a price target of US$218 per share, while the most pessimistic values it at US$180. The narrow spread of estimates could suggest that the business' future is relatively easy to value, or thatthe analysts have a strong view on its prospects.
These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Jones Lang LaSalle's past performance and to peers in the same industry. It's pretty clear that there is an expectation that Jones Lang LaSalle's revenue growth will slow down substantially, with revenues to the end of 2024 expected to display 5.9% growth on an annualised basis. This is compared to a historical growth rate of 20% over the past five years. By way of comparison, the other companies in this industry with analyst coverage are forecast to grow their revenue at 11% per year. Factoring in the forecast slowdown in growth, it seems obvious that Jones Lang LaSalle is also expected to grow slower than other industry participants.
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 Jones Lang LaSalle's revenue is expected to perform worse than the wider industry. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.
With that in mind, we wouldn't be too quick to come to a conclusion on Jones Lang LaSalle. Long-term earnings power is much more important than next year's profits. We have forecasts for Jones Lang LaSalle going out to 2026, and you can see them free on our platform here.
Even so, be aware that Jones Lang LaSalle is showing 2 warning signs in our investment analysis , you should know about...
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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.
