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The full-year results for Atkore Inc. (NYSE:ATKR) were released last week, making it a good time to revisit its performance. Atkore reported in line with analyst predictions, delivering revenues of US$3.2b and statutory earnings per share of US$12.69, suggesting the business is executing well and in line with its plan. 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. So we gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.
View our latest analysis for Atkore
Taking into account the latest results, the six analysts covering Atkore provided consensus estimates of US$2.99b revenue in 2025, which would reflect a discernible 6.6% decline over the past 12 months. Statutory earnings per share are expected to crater 45% to US$7.36 in the same period. Before this earnings report, the analysts had been forecasting revenues of US$3.04b and earnings per share (EPS) of US$10.62 in 2025. So there's definitely been a decline in sentiment after the latest results, noting the large cut to new EPS forecasts.
The average price target fell 17% to US$101, with reduced earnings forecasts clearly tied to a lower valuation estimate. The consensus price target is just an average of individual analyst targets, so - it could be handy to see how wide the range of underlying estimates is. The most optimistic Atkore analyst has a price target of US$115 per share, while the most pessimistic values it at US$84.00. There are definitely some different views on the stock, but the range of estimates is not wide enough as to imply that the situation is unforecastable, in our view.
Taking a look at the bigger picture now, one of the ways we can understand these forecasts is to see how they compare to both past performance and industry growth estimates. We would highlight that revenue is expected to reverse, with a forecast 6.6% annualised decline to the end of 2025. That is a notable change from historical growth of 15% over the last five years. Compare this with our data, which suggests that other companies in the same industry are, in aggregate, expected to see their revenue grow 9.1% per year. So although its revenues are forecast to shrink, this cloud does not come with a silver lining - Atkore is expected to lag 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. Fortunately, the analysts also reconfirmed their revenue estimates, suggesting that it's tracking in line with expectations. Although our data does suggest that Atkore's revenue is expected to perform worse than the wider industry. The consensus price target fell measurably, with the analysts seemingly not reassured by the latest results, leading to a lower estimate of Atkore's future valuation.