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The full-year results for ADS-TEC Energy PLC (NASDAQ:ADSE) were released last week, making it a good time to revisit its performance. The results don't look great, especially considering that statutory losses grew 65% to€1.09 per share. Revenues of €107m did beat expectations by 4.2%, but it looks like a bit of a cold comfort. 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 ADS-TEC Energy
Following the latest results, ADS-TEC Energy's three analysts are now forecasting revenues of €192.2m in 2024. This would be a huge 79% improvement in revenue compared to the last 12 months. Losses are predicted to fall substantially, shrinking 81% to €0.21. Yet prior to the latest earnings, the analysts had been forecasting revenues of €167.2m and losses of €0.35 per share in 2024. So there's been quite a change-up of views after the recent consensus updates, with the analysts making a sizeable increase to their revenue forecasts while also reducing the estimated loss as the business grows towards breakeven.
It will come as no surprise to learn thatthe analysts have increased their price target for ADS-TEC Energy 56% to US$14.00on the back of these upgrades.
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. The analysts are definitely expecting ADS-TEC Energy's growth to accelerate, with the forecast 79% annualised growth to the end of 2024 ranking favourably alongside historical growth of 18% per annum over the past three years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 7.7% per year. Factoring in the forecast acceleration in revenue, it's pretty clear that ADS-TEC Energy is expected to grow much faster than its industry.
The Bottom Line
The most important thing to take away is that the analysts reconfirmed their loss per share estimates for next year. Happily, they also upgraded their revenue estimates, and are forecasting them to grow faster than the wider industry. There was also a nice increase in the price target, with the analysts clearly feeling that the intrinsic value of the business is improving.