It's been a sad week for E2open Parent Holdings, Inc. (NYSE:ETWO), who've watched their investment drop 12% to US$3.61 in the week since the company reported its third-quarter result. Revenues of US$157m beat expectations by a respectable 2.1%, although statutory losses per share increased. E2open Parent Holdings lost US$2.20, which was 2,231% more than what the analysts had included in their models. 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. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year.
View our latest analysis for E2open Parent Holdings
Following last week's earnings report, E2open Parent Holdings' six analysts are forecasting 2025 revenues to be US$640.6m, approximately in line with the last 12 months. Losses are predicted to fall substantially, shrinking 94% to US$0.28. Yet prior to the latest earnings, the analysts had been forecasting revenues of US$643.4m and losses of US$0.29 per share in 2025. So there seems to have been a moderate uplift in analyst sentiment with the latest consensus release, given the upgrade to loss per share forecasts for next year.
These new estimates led to the consensus price target rising 11% to US$4.10, with lower forecast losses suggesting things could be looking up for E2open Parent Holdings. 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 E2open Parent Holdings, with the most bullish analyst valuing it at US$4.50 and the most bearish at US$4.00 per share. Still, with such a tight range of estimates, it suggeststhe analysts have a pretty good idea of what they think the company is worth.
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. We would highlight that revenue is expected to reverse, with a forecast 0.2% annualised decline to the end of 2025. That is a notable change from historical growth of 40% over the last three years. Compare this with our data, which suggests that other companies in the same industry are, in aggregate, expected to see their revenue grow 12% per year. It's pretty clear that E2open Parent Holdings' revenues are expected to perform substantially worse than the wider industry.