Hellenic Telecommunications Organization S.A. Just Missed EPS By 5.6%: Here's What Analysts Think Will Happen Next

Last week saw the newest interim earnings release from Hellenic Telecommunications Organization S.A. (ATH:HTO), an important milestone in the company's journey to build a stronger business. Revenues of €1.7b were in line with forecasts, although statutory earnings per share (EPS) came in below expectations at €0.37, missing estimates by 5.6%. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analysts have changed their mind on Hellenic Telecommunications Organization after the latest results.

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Taking into account the latest results, Hellenic Telecommunications Organization's nine analysts currently expect revenues in 2026 to be €3.44b, approximately in line with the last 12 months. Statutory per-share earnings are expected to be €1.82, roughly flat on the last 12 months. In the lead-up to this report, the analysts had been modelling revenues of €3.47b and earnings per share (EPS) of €1.62 in 2026. There was no real change to the revenue estimates, but the analysts do seem more bullish on earnings, given the substantial gain in earnings per share expectations following these results.

Check out our latest analysis for Hellenic Telecommunications Organization

The consensus price target was unchanged at €20.47, implying that the improved earnings outlook is not expected to have a long term impact on value creation for shareholders. 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 Hellenic Telecommunications Organization analyst has a price target of €23.00 per share, while the most pessimistic values it at €17.50. This is a very narrow spread of estimates, implying either that Hellenic Telecommunications Organization is an easy company to value, or - more likely - the analysts are relying heavily on some key assumptions.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Hellenic Telecommunications Organization's past performance and to peers in the same industry. These estimates imply that revenue is expected to slow, with a forecast annualised decline of 3.8% by the end of 2026. This indicates a significant reduction from annual growth of 1.0% over the last five years. By contrast, our data suggests that other companies (with analyst coverage) in the same industry are forecast to see their revenue grow 2.2% annually for the foreseeable future. So although its revenues are forecast to shrink, this cloud does not come with a silver lining - Hellenic Telecommunications Organization is expected to lag the wider industry.

The Bottom Line

The biggest takeaway for us is the consensus earnings per share upgrade, which suggests a clear improvement in sentiment around Hellenic Telecommunications Organization's earnings potential next year. On the plus side, there were no major changes to revenue estimates; although forecasts imply they will perform worse than the wider industry. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.

Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. At Simply Wall St, we have a full range of analyst estimates for Hellenic Telecommunications Organization going out to 2028, and you can see them free on our platform here..

And what about risks? Every company has them, and we've spotted 1 warning sign for Hellenic Telecommunications Organization you should know about.

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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.