Motor Oil (Hellas) Corinth Refineries S.A. Just Beat EPS By 16%: Here's What Analysts Think Will Happen Next
Last week saw the newest half-year earnings release from Motor Oil (Hellas) Corinth Refineries S.A. (ATH:MOH), an important milestone in the company's journey to build a stronger business. Revenues were €4.2b, approximately in line with expectations, although statutory earnings per share (EPS) performed substantially better. EPS of €3.25 were also better than expected, beating analyst predictions by 16%. 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.
Taking into account the latest results, Motor Oil (Hellas) Corinth Refineries' eight analysts currently expect revenues in 2026 to be €13.5b, approximately in line with the last 12 months. Statutory earnings per share are forecast to decline 15% to €9.19 in the same period. Yet prior to the latest earnings, the analysts had been anticipated revenues of €13.6b and earnings per share (EPS) of €4.89 in 2026. There was no real change to the revenue estimates, but the analysts do seem more bullish on earnings, given the sizeable expansion in earnings per share expectations following these results.
Check out our latest analysis for Motor Oil (Hellas) Corinth Refineries
There's been no major changes to the consensus price target of €46.76, suggesting that the improved earnings per share outlook is not enough to have a long-term positive impact on the stock's valuation. 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 Motor Oil (Hellas) Corinth Refineries analyst has a price target of €61.00 per share, while the most pessimistic values it at €35.00. 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.
Of course, another way to look at these forecasts is to place them into context against the industry itself. We would highlight that revenue is expected to reverse, with a forecast 3.5% annualised decline to the end of 2026. That is a notable change from historical growth of 1.3% over the last five years. By contrast, our data suggests that other companies (with analyst coverage) in the industry are forecast to see their revenue decline 1.2% annually for the foreseeable future. The forecasts do look bearish for Motor Oil (Hellas) Corinth Refineries, since they're expecting it to shrink faster than the industry.
The Bottom Line
The most important thing here is that the analysts upgraded their earnings per share estimates, suggesting that there has been a clear increase in optimism towards Motor Oil (Hellas) Corinth Refineries following these results. They also made no changes to their revenue estimates, implying the business is not expected to experience any major impacts to the current trajectory in the near term, even though it is expected to trail the wider industry. The consensus price target held steady at €46.76, 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 Motor Oil (Hellas) Corinth Refineries going out to 2028, and you can see them free on our platform here.
It is also worth noting that we have found 4 warning signs for Motor Oil (Hellas) Corinth Refineries (1 makes us a bit uncomfortable!) that you need to take into consideration.
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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.