Danone S.A. (EPA:BN) Just Released Its Half-Yearly Earnings: Here's What Analysts Think

Last week, you might have seen that Danone S.A. (EPA:BN) released its half-year result to the market. The early response was not positive, with shares down 3.5% to €67.52 in the past week. It was a credible result overall, with revenues of €14b and statutory earnings per share of €2.82 both in line with analyst estimates, showing that Danone is executing in line with expectations. 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. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.

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Following the latest results, Danone's 18 analysts are now forecasting revenues of €28.2b in 2026. This would be a satisfactory 2.5% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to shoot up 23% to €3.72. Before this earnings report, the analysts had been forecasting revenues of €28.1b and earnings per share (EPS) of €3.79 in 2026. The consensus analysts don't seem to have seen anything in these results that would have changed their view on the business, given there's been no major change to their estimates.

View our latest analysis for Danone

There were no changes to revenue or earnings estimates or the price target of €79.98, suggesting that the company has met expectations in its recent result. That's not the only conclusion we can draw from this data however, as some investors also like to consider the spread in estimates when evaluating analyst price targets. The most optimistic Danone analyst has a price target of €95.00 per share, while the most pessimistic values it at €62.00. As you can see, analysts are not all in agreement on the stock's future, but the range of estimates is still reasonably narrow, which could suggest that the outcome is not totally unpredictable.

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. The analysts are definitely expecting Danone's growth to accelerate, with the forecast 5.1% annualised growth to the end of 2026 ranking favourably alongside historical growth of 2.3% per annum over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 4.2% annually. Danone is expected to grow at about the same rate as its industry, so it's not clear that we can draw any conclusions from its growth relative to competitors.

The Bottom Line

The most obvious conclusion is that there's been no major change in the business' prospects in recent times, with the analysts holding their earnings forecasts steady, in line with previous estimates. They also reconfirmed their revenue estimates, with the company predicted to grow at about the same rate as the wider industry. The consensus price target held steady at €79.98, with the latest estimates not enough to have an impact on their price targets.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have forecasts for Danone going out to 2028, and you can see them free on our platform here.

Plus, you should also learn about the 1 warning sign we've spotted with Danone .

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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.