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PATRIZIA SE (ETR:PAT) came out with its quarterly results last week, and we wanted to see how the business is performing and what industry forecasters think of the company following this report. Revenues of €63m arrived in line with expectations, although statutory losses per share were €0.10, an impressive 38% smaller than what broker models predicted. 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. So we gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.
Check out our latest analysis for PATRIZIA
After the latest results, the four analysts covering PATRIZIA are now predicting revenues of €306.0m in 2025. If met, this would reflect a notable 8.3% improvement in revenue compared to the last 12 months. PATRIZIA is also expected to turn profitable, with statutory earnings of €0.20 per share. Yet prior to the latest earnings, the analysts had been anticipated revenues of €306.6m and earnings per share (EPS) of €0.19 in 2025. So the consensus seems to have become somewhat more optimistic on PATRIZIA's earnings potential following these results.
There's been no major changes to the consensus price target of €9.08, suggesting that the improved earnings per share outlook is not enough to have a long-term positive impact on the stock's valuation. There's another way to think about price targets though, and that's to look at the range of price targets put forward by analysts, because a wide range of estimates could suggest a diverse view on possible outcomes for the business. The most optimistic PATRIZIA analyst has a price target of €9.90 per share, while the most pessimistic values it at €7.50. Even so, with a relatively close grouping of estimates, it looks like the analysts are quite confident in their valuations, suggesting PATRIZIA is an easy business to forecast or the the analysts are all using similar assumptions.
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. One thing stands out from these estimates, which is that PATRIZIA is forecast to grow faster in the future than it has in the past, with revenues expected to display 6.6% annualised growth until the end of 2025. If achieved, this would be a much better result than the 5.1% annual decline over the past five years. What's also interesting is that our data suggests that other companies (with analyst coverage) in a similar industry are forecast to see their revenue decline 11% annually for the foreseeable future. So although PATRIZIA is expected to return to growth, it's also expected to grow revenues during a time when the wider industry is estimated to see revenue decline.