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Verbio SE (ETR:VBK) last week reported its latest quarterly results, which makes it a good time for investors to dive in and see if the business is performing in line with expectations. Revenues of €394m arrived in line with expectations, although statutory losses per share were €0.05, an impressive 71% smaller than what broker models predicted. 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.
See our latest analysis for Verbio
Following the latest results, Verbio's five analysts are now forecasting revenues of €1.58b in 2025. This would be a satisfactory 4.7% improvement in revenue compared to the last 12 months. Verbio is also expected to turn profitable, with statutory earnings of €0.098 per share. Yet prior to the latest earnings, the analysts had been anticipated revenues of €1.65b and earnings per share (EPS) of €0.061 in 2025. While revenue forecasts have been revised downwards, the analysts look to have become more optimistic on the company's cost base, given the sizeable expansion in to the earnings per share numbers.
There's been no real change to the average price target of €15.06, with the lower revenue and higher earnings forecasts not expected to meaningfully impact the company's valuation over a longer timeframe. Fixating on a single price target can be unwise though, since the consensus target is effectively the average of analyst price targets. As a result, some investors like to look at the range of estimates to see if there are any diverging opinions on the company's valuation. Currently, the most bullish analyst values Verbio at €17.00 per share, while the most bearish prices it at €10.50. There are definitely some different views on the stock, but the range of estimates is not wide enough as to imply that the situation is unforecastable, in our view.
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 Verbio's revenue growth is expected to slow, with the forecast 9.6% annualised growth rate until the end of 2025 being well below the historical 16% p.a. growth over the last five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to see their revenue shrink 0.6% per year. So it's clear that despite the slowdown in growth, Verbio is still expected to grow meaningfully faster than the wider industry.