Earnings Update: SCHOTT Pharma AG & Co. KGaA (ETR:1SXP) Just Reported And Analysts Are Trimming Their Forecasts
There's been a notable change in appetite for SCHOTT Pharma AG & Co. KGaA( ETR:1SXP ) shares in the week since its full-year report, with the stock down 11% to €15.14. Revenues of €986m were in line with forecasts, although statutory earnings per share (EPS) came in below expectations at €0.97, missing estimates by 4.1%. 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.
Following last week's earnings report, SCHOTT Pharma KGaA's eleven analysts are forecasting 2026 revenues to be €1.00b, approximately in line with the last 12 months. Statutory per share are forecast to be €0.95, approximately in line with the last 12 months. Yet prior to the latest earnings, the analysts had been anticipated revenues of €1.09b and earnings per share (EPS) of €1.17 in 2026. From this we can that sentiment has definitely become more bearish after the latest results, leading to lower revenue forecasts and a substantial drop in earnings per share estimates.
Check out our latest analysis for SCHOTT Pharma KGaA
It'll come as no surprise then, to learn that the analysts have cut their price target 20% to €22.97. 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. The most optimistic SCHOTT Pharma KGaA analyst has a price target of €36.00 per share, while the most pessimistic values it at €14.00. This is a fairly broad spread of estimates, suggesting that analysts are forecasting a wide range of possible outcomes for the business.
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. It's pretty clear that there is an expectation that SCHOTT Pharma KGaA's revenue growth will slow down substantially, with revenues to the end of 2026 expected to display 1.8% growth on an annualised basis. This is compared to a historical growth rate of 9.4% over the past five years. By way of comparison, the other companies in this industry with analyst coverage are forecast to grow their revenue at 9.2% per year. Factoring in the forecast slowdown in growth, it seems obvious that SCHOTT Pharma KGaA is also expected to grow slower than other industry participants.
The Bottom Line
The biggest concern is that the analysts reduced their earnings per share estimates, suggesting business headwinds could lay ahead for SCHOTT Pharma KGaA. On the negative side, they also downgraded their revenue estimates, and forecasts imply they will 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 SCHOTT Pharma KGaA's future valuation.
Following on from that line of thought, we think that the long-term prospects of the business are much more relevant than next year's earnings. We have forecasts for SCHOTT Pharma KGaA going out to 2028, and you can see them free on our platform here.
You can also see whether SCHOTT Pharma KGaA is carrying too much debt, and whether its balance sheet is healthy, for free on our platform here.
Have feedback on this article? Concerned about the content? Get in touch
with us directly. Alternatively, email editorial-team (at) simplywallst.com.
This article by Simply Wall St is general in nature.
We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice.
It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
