The latest analyst coverage could presage a bad day for La Française de l'Energie S.A. (EPA:FDE), with the analysts making across-the-board cuts to their statutory estimates that might leave shareholders a little shell-shocked. Revenue and earnings per share (EPS) forecasts were both revised downwards, with analysts seeing grey clouds on the horizon.
We've discovered 2 warning signs about La Française de l'Energie. View them for free.Following the downgrade, the current consensus from La Française de l'Energie's four analysts is for revenues of €49m in 2026 which - if met - would reflect a major 88% increase on its sales over the past 12 months. Statutory earnings per share are presumed to surge 160% to €2.58. Prior to this update, the analysts had been forecasting revenues of €59m and earnings per share (EPS) of €3.04 in 2026. Indeed, we can see that the analysts are a lot more bearish about La Française de l'Energie's prospects, administering a substantial drop in revenue estimates and slashing their EPS estimates to boot.
Check out our latest analysis for La Française de l'Energie
Looking at the bigger picture now, one of the ways we can make sense of these forecasts is to see how they measure up against both past performance and industry growth estimates. The analysts are definitely expecting La Française de l'Energie's growth to accelerate, with the forecast 66% annualised growth to the end of 2026 ranking favourably alongside historical growth of 29% per annum over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 1.2% per year. It seems obvious that, while the growth outlook is brighter than the recent past, the analysts also expect La Française de l'Energie to grow faster than the wider industry.
The biggest issue in the new estimates is that analysts have reduced their earnings per share estimates, suggesting business headwinds lay ahead for La Française de l'Energie. While analysts did downgrade their revenue estimates, these forecasts still imply revenues will perform better than the wider market. Given the serious cut to next year's outlook, it's clear that analysts have turned more bearish on La Française de l'Energie, and we wouldn't blame shareholders for feeling a little more cautious themselves.
Still, the long-term prospects of the business are much more relevant than next year's earnings. At Simply Wall St, we have a full range of analyst estimates for La Française de l'Energie going out to 2027, and you can see them free on our platform here.
Of course, seeing company management invest large sums of money in a stock can be just as useful as knowing whether analysts are downgrading their estimates. So you may also wish to search this free list of stocks with high insider ownership.
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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.