Here's What Analysts Are Forecasting For Sveafastigheter AB (publ) (STO:SVEAF) After Its Second-Quarter Results
Sveafastigheter AB (publ) (STO:SVEAF) shareholders are probably feeling a little disappointed, since its shares fell 4.7% to kr29.65 in the week after its latest quarterly results. Sveafastigheter reported in line with analyst predictions, delivering revenues of kr408m and statutory earnings per share of kr0.42, suggesting the business is executing well and in line with its plan. 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. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.
Taking into account the latest results, the most recent consensus for Sveafastigheter from four analysts is for revenues of kr1.73b in 2026. If met, it would imply a meaningful 9.2% increase on its revenue over the past 12 months. Per-share earnings are expected to accumulate 8.7% to kr2.46. Yet prior to the latest earnings, the analysts had been anticipated revenues of kr1.62b and earnings per share (EPS) of kr2.59 in 2026. So it's pretty clear consensus is mixed on Sveafastigheter after the latest results; whilethe analysts lifted revenue numbers, they also administered a minor downgrade to per-share earnings expectations.
View our latest analysis for Sveafastigheter
There's been no major changes to the price target of kr45.00, suggesting that the impact of higher forecast revenue and lower earnings won't result in a meaningful change to the business' valuation. 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 Sveafastigheter, with the most bullish analyst valuing it at kr55.00 and the most bearish at kr35.00 per share. This shows there is still a bit of diversity in estimates, but analysts don't appear to be totally split on the stock as though it might be a success or failure situation.
Another way we can view these estimates is in the context of the bigger picture, such as how the forecasts stack up against past performance, and whether forecasts are more or less bullish relative to other companies in the industry. It's clear from the latest estimates that Sveafastigheter's rate of growth is expected to accelerate meaningfully, with the forecast 19% annualised revenue growth to the end of 2026 noticeably faster than its historical growth of 7.8% over the past year. Compare this with other companies in the same industry, which are forecast to grow their revenue 3.4% annually. Factoring in the forecast acceleration in revenue, it's pretty clear that Sveafastigheter is expected to grow much faster than its industry.
The Bottom Line
The most important thing to take away is that the analysts downgraded their earnings per share estimates, showing that there has been a clear decline in sentiment following these results. Happily, they also upgraded their revenue estimates, and are forecasting them to grow faster 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 Sveafastigheter. Long-term earnings power is much more important than next year's profits. At Simply Wall St, we have a full range of analyst estimates for Sveafastigheter going out to 2028, and you can see them free on our platform here..
You still need to take note of risks, for example - Sveafastigheter has 3 warning signs (and 2 which are concerning) we think 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.