Ströer SE & Co. KGaA (ETR:SAX) Just Released Its Second-Quarter Results And Analysts Are Updating Their Estimates
Last week saw the newest second-quarter earnings release from Ströer SE & Co. KGaA (ETR:SAX), an important milestone in the company's journey to build a stronger business. It was a workmanlike result, with revenues of €542m coming in 2.0% ahead of expectations, and statutory earnings per share of €2.25, in line with analyst appraisals. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. So we gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.
After the latest results, the ten analysts covering Ströer SE KGaA are now predicting revenues of €2.18b in 2026. If met, this would reflect a satisfactory 2.4% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to surge 31% to €2.89. Before this earnings report, the analysts had been forecasting revenues of €2.16b and earnings per share (EPS) of €2.80 in 2026. The analysts seems to have become more bullish on the business, judging by their new earnings per share estimates.
View our latest analysis for Ströer SE KGaA
The consensus price target was unchanged at €49.34, implying that the improved earnings outlook is not expected to have a long term impact on value creation for shareholders. The consensus price target is just an average of individual analyst targets, so - it could be handy to see how wide the range of underlying estimates is. There are some variant perceptions on Ströer SE KGaA, with the most bullish analyst valuing it at €78.00 and the most bearish at €37.40 per share. Note the wide gap in analyst price targets? This implies to us that there is a fairly broad range of possible scenarios for the underlying business.
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 pretty clear that there is an expectation that Ströer SE KGaA's revenue growth will slow down substantially, with revenues to the end of 2026 expected to display 4.8% growth on an annualised basis. This is compared to a historical growth rate of 6.3% over the past five years. Juxtapose this against the other companies in the industry with analyst coverage, which are forecast to grow their revenues (in aggregate) 5.7% annually. So it's pretty clear that, while Ströer SE KGaA's revenue growth is expected to slow, it's expected to grow roughly in line with the industry.
The Bottom Line
The most important thing here is that the analysts upgraded their earnings per share estimates, suggesting that there has been a clear increase in optimism towards Ströer SE KGaA following these results. They also reconfirmed their revenue estimates, with the company predicted to grow at about the same rate as 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 Ströer SE KGaA 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 Ströer SE KGaA that you need to take into consideration.
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