Analyst Estimates: Here's What Brokers Think Of Enagás, S.A. (BME:ENG) After Its Interim Report
It's been a good week for Enagás, S.A. (BME:ENG) shareholders, because the company has just released its latest half-year results, and the shares gained 4.3% to €17.58. It was an okay result overall, with revenues coming in at €464m, roughly what the analysts had been expecting. 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. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year.
After the latest results, the consensus from Enagás' 17 analysts is for revenues of €817.2m in 2026, which would reflect a considerable 14% decline in revenue compared to the last year of performance. Statutory earnings per share are expected to drop 18% to €0.92 in the same period. In the lead-up to this report, the analysts had been modelling revenues of €825.2m and earnings per share (EPS) of €0.91 in 2026. 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.
View our latest analysis for Enagás
It will come as no surprise then, to learn that the consensus price target is largely unchanged at €16.93. 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 Enagás analyst has a price target of €19.80 per share, while the most pessimistic values it at €13.00. 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.
These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Enagás' past performance and to peers in the same industry. Over the past five years, revenues have declined around 1.0% annually. Worse, forecasts are essentially predicting the decline to accelerate, with the estimate for an annualised 26% decline in revenue until the end of 2026. Compare this against analyst estimates for companies in the broader industry, which suggest that revenues (in aggregate) are expected to grow 0.9% annually. So it's pretty clear that, while it does have declining revenues, the analysts also expect Enagás to suffer worse 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. Fortunately, the analysts also reconfirmed their revenue estimates, suggesting that it's tracking in line with expectations. Although our data does suggest that Enagás' 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.
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 Enagás going out to 2028, and you can see them free on our platform here.
It is also worth noting that we have found 2 warning signs for Enagás (1 is potentially serious!) that you need to take into consideration.
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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.