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It's been a good week for Altus Power, Inc. (NYSE:AMPS) shareholders, because the company has just released its latest first-quarter results, and the shares gained 2.1% to US$4.44. It was overall a positive result, with revenues beating expectations by 3.6% to hit US$41m. Altus Power also reported a statutory profit of US$0.05, which was a nice improvement from the loss that the analysts were predicting. 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. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year.
See our latest analysis for Altus Power
Taking into account the latest results, the current consensus from Altus Power's nine analysts is for revenues of US$213.3m in 2024. This would reflect a major 28% increase on its revenue over the past 12 months. The loss per share is expected to ameliorate slightly, reducing to US$0.043. Yet prior to the latest earnings, the analysts had been forecasting revenues of US$213.6m and losses of US$0.087 per share in 2024. While the revenue estimates were largely unchanged, sentiment seems to have improved, with the analysts upgrading their numbers and making a very favorable reduction to losses per share in particular.
There's been no major changes to the consensus price target of US$7.67, suggesting that reduced loss estimates are not enough to have a long-term positive impact on the stock's valuation. 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. There are some variant perceptions on Altus Power, with the most bullish analyst valuing it at US$9.00 and the most bearish at US$6.00 per share. This shows there is still a bit of diversity in estimates, but analysts don't appear to be totally split on the stock as though it might be a success or failure situation.
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 period to the end of 2024 brings more of the same, according to the analysts, with revenue forecast to display 39% growth on an annualised basis. That is in line with its 40% annual growth over the past three years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to see their revenues grow 5.6% per year. So although Altus Power is expected to maintain its revenue growth rate, it's definitely expected to grow faster than the wider industry.