Aebi Schmidt Holding AG Just Missed EPS By 36%: Here's What Analysts Think Will Happen Next
The analysts might have been a bit too bullish on Aebi Schmidt Holding AG (NASDAQ:AEBI), given that the company fell short of expectations when it released its third-quarter results last week. It wasn't a great result overall - while revenue fell marginally short of analyst estimates at US$493m, statutory earnings missed forecasts by an incredible 36%, coming in at just US$0.14 per share. 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.
After the latest results, the three analysts covering Aebi Schmidt Holding are now predicting revenues of US$2.14b in 2027. If met, this would reflect a solid 8.6% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to soar 192% to US$1.16. In the lead-up to this report, the analysts had been modelling revenues of US$2.15b and earnings per share (EPS) of US$1.15 in 2027. 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.
Check out our latest analysis for Aebi Schmidt Holding
The consensus price target fell 5.9% to US$16.00, suggesting that the analysts might have been a bit enthusiastic in their previous valuation - or they were expecting the company to provide stronger guidance in the quarterly results. 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 Aebi Schmidt Holding, with the most bullish analyst valuing it at US$17.00 and the most bearish at US$15.00 per share. Even so, with a relatively close grouping of estimates, it looks like the analysts are quite confident in their valuations, suggesting Aebi Schmidt Holding is an easy business to forecast or the the analysts are all using similar assumptions.
Looking at the bigger picture now, one of the ways we can make sense of these forecasts is to see how they measure up against both past performance and industry growth estimates. We would highlight that Aebi Schmidt Holding's revenue growth is expected to slow, with the forecast 6.8% annualised growth rate until the end of 2027 being well below the historical 29% p.a. growth over the last three years. Juxtapose this against the other companies in the industry with analyst coverage, which are forecast to grow their revenues (in aggregate) 6.8% annually. So it's pretty clear that, while Aebi Schmidt Holding'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 to take away is that there's been no major change in sentiment, with the analysts reconfirming that the business is performing in line with their previous earnings per share estimates. Happily, there were no real changes to revenue forecasts, with the business still expected to grow in line with the overall industry. The consensus price target fell measurably, with the analysts seemingly not reassured by the latest results, leading to a lower estimate of Aebi Schmidt Holding's future valuation.
Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. We have estimates - from multiple Aebi Schmidt Holding analysts - going out to 2028, and you can see them free on our platform here.
Even so, be aware that Aebi Schmidt Holding is showing 2 warning signs in our investment analysis , and 1 of those is significant...
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