Analysts Have Made A Financial Statement On Danske Bank A/S' (CPH:DANSKE) Second-Quarter Report
As you might know, Danske Bank A/S (CPH:DANSKE) just kicked off its latest quarterly results with some very strong numbers. Results were good overall, with revenues beating analyst predictions by 3.2% to hit kr.15b. Statutory earnings per share (EPS) came in at kr.7.60, some 2.4% above whatthe analysts had expected. Following the result, the analysts have updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. So we gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.
Taking into account the latest results, the consensus forecast from Danske Bank's 14 analysts is for revenues of kr.59.2b in 2026. This reflects a satisfactory 2.5% improvement in revenue compared to the last 12 months. Statutory per share are forecast to be kr.29.92, approximately in line with the last 12 months. In the lead-up to this report, the analysts had been modelling revenues of kr.58.9b and earnings per share (EPS) of kr.29.67 in 2026. 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.
View our latest analysis for Danske Bank
There were no changes to revenue or earnings estimates or the price target of kr.379, suggesting that the company has met expectations in its recent result. 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. The most optimistic Danske Bank analyst has a price target of kr.427 per share, while the most pessimistic values it at kr.320. With such a narrow range of valuations, the analysts apparently share similar views on what they think the business is worth.
Taking a look at the bigger picture now, one of the ways we can understand these forecasts is to see how they compare to both past performance and industry growth estimates. The period to the end of 2026 brings more of the same, according to the analysts, with revenue forecast to display 5.1% growth on an annualised basis. That is in line with its 6.0% annual growth over the past five years. Compare this with the broader industry (in aggregate), which analyst estimates suggest will see revenues grow 6.8% annually. So although Danske Bank is expected to maintain its revenue growth rate, it's forecast to grow slower than the wider industry.
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. On the plus side, there were no major changes to revenue estimates; although forecasts imply they will perform worse than the wider industry. The consensus price target held steady at kr.379, 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 Danske Bank going out to 2028, and you can see them free on our platform here.
And what about risks? Every company has them, and we've spotted 2 warning signs for Danske Bank 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.