Flowserve Corporation (NYSE:FLS) shareholders are probably feeling a little disappointed, since its shares fell 4.5% to US$40.20 in the week after its latest quarterly results. It was not a great result overall. While revenues of US$898m were in line with analyst predictions, earnings were less than expected, missing statutory estimates by 13% to hit US$0.35 per share. Following the result, the analysts have updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. We've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.

View our latest analysis for Flowserve

Following last week's earnings report, Flowserve's twelve analysts are forecasting 2021 revenues to be US$3.65b, approximately in line with the last 12 months. Statutory earnings per share are predicted to grow 19% to US$1.42. Before this earnings report, the analysts had been forecasting revenues of US$3.65b and earnings per share (EPS) of US$1.46 in 2021. The analysts seem to have become a little more negative on the business after the latest results, given the minor downgrade to their earnings per share numbers for next year.

It might be a surprise to learn that the consensus price target was broadly unchanged at US$44.82, with the analysts clearly implying that the forecast decline in earnings is not expected to have much of an impact on valuation. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. There are some variant perceptions on Flowserve, with the most bullish analyst valuing it at US$53.00 and the most bearish at US$33.00 per share. As you can see, analysts are not all in agreement on the stock's future, but the range of estimates is still reasonably narrow, which could suggest that the outcome is not totally unpredictable.

Another way we can view these estimates is in the context of the bigger picture, such as how the forecasts stack up against past performance, and whether forecasts are more or less bullish relative to other companies in the industry. One thing that stands out from these estimates is that shrinking revenues are expected to moderate over the period ending 2021 compared to the historical decline of 1.5% per annum over the past five years. Compare this against analyst estimates for companies in the broader industry, which suggest that revenues (in aggregate) are expected to grow 7.7% annually. So it's pretty clear that, while it does have declining revenues, the analysts also expect Flowserve to suffer worse than the wider industry.