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It's been a mediocre week for Corbion N.V. (AMS:CRBN) shareholders, with the stock dropping 14% to €30.60 in the week since its latest yearly results. Corbion beat revenue expectations by 9.7%, recording sales of €1.5b. Statutory earnings per share (EPS) came in at €1.51, some 7.4% short of analyst estimates. 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 Corbion
Taking into account the latest results, the consensus forecast from Corbion's dual analysts is for revenues of €1.51b in 2023, which would reflect a modest 3.6% improvement in sales compared to the last 12 months. Statutory earnings per share are forecast to decrease 2.3% to €1.49 in the same period. Before this earnings report, the analysts had been forecasting revenues of €1.42b and earnings per share (EPS) of €1.78 in 2023. So it's pretty clear the analysts have mixed opinions on Corbion after the latest results; even though they upped their revenue numbers, it came at the cost of a real cut to per-share earnings expectations.
The consensus price target was unchanged at €36.65, suggesting the business is performing roughly in line with expectations, despite some adjustments to profit and revenue forecasts.
One way to get more context on these forecasts is to look at how they compare to both past performance, and how other companies in the same industry are performing. It's pretty clear that there is an expectation that Corbion's revenue growth will slow down substantially, with revenues to the end of 2023 expected to display 3.6% growth on an annualised basis. This is compared to a historical growth rate of 8.6% over the past five years. By way of comparison, the other companies in this industry with analyst coverage are forecast to grow their revenue at 2.4% annually. Even after the forecast slowdown in growth, it seems obvious that Corbion is also expected to grow faster than the wider industry.
The Bottom Line
The most important thing to take away is that the analysts downgraded their earnings per share estimates, showing that there has been a clear decline in sentiment following these results. Pleasantly, they also upgraded their revenue estimates, and their forecasts suggest the business is expected to grow faster than the wider industry. The consensus price target held steady at €36.65, with the latest estimates not enough to have an impact on their price targets.