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As you might know, Constellation Energy Corporation (NASDAQ:CEG) recently reported its full-year numbers. Revenues were US$24b, approximately in line with expectations, although statutory earnings per share (EPS) performed substantially better. EPS of US$11.89 were also better than expected, beating analyst predictions by 13%. 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. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.
View our latest analysis for Constellation Energy
Following last week's earnings report, Constellation Energy's ten analysts are forecasting 2025 revenues to be US$23.1b, approximately in line with the last 12 months. Statutory earnings per share are forecast to crater 21% to US$9.44 in the same period. Yet prior to the latest earnings, the analysts had been anticipated revenues of US$20.7b and earnings per share (EPS) of US$9.44 in 2025. It seems sentiment has certainly become more bullish on revenues, even though they haven't changed their view on earnings per share.
It may not be a surprise to see thatthe analysts have reconfirmed their price target of US$317, implying that the uplift in revenue is not expected to greatly contribute to Constellation Energy's valuation in the near term. That's not the only conclusion we can draw from this data however, as some investors also like to consider the spread in estimates when evaluating analyst price targets. There are some variant perceptions on Constellation Energy, with the most bullish analyst valuing it at US$385 and the most bearish at US$226 per share. Analysts definitely have varying views on the business, but the spread of estimates is not wide enough in our view to suggest that extreme outcomes could await Constellation Energy shareholders.
These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Constellation Energy's past performance and to peers in the same industry. We would highlight that revenue is expected to reverse, with a forecast 1.9% annualised decline to the end of 2025. That is a notable change from historical growth of 8.0% over the last five years. By contrast, our data suggests that other companies (with analyst coverage) in the same industry are forecast to see their revenue grow 5.0% annually for the foreseeable future. So although its revenues are forecast to shrink, this cloud does not come with a silver lining - Constellation Energy is expected to lag the wider industry.