Results: América Móvil, S.A.B. de C.V. Beat Earnings Expectations And Analysts Now Have New Forecasts
A week ago, América Móvil, S.A.B. de C.V. (BMV:AMXB) came out with a strong set of third-quarter numbers that could potentially lead to a re-rate of the stock. Results were good overall, with revenues beating analyst predictions by 2.5% to hit Mex$251b. Statutory earnings per share (EPS) came in at Mex$0.41, some 6.5% above whatthe analysts had expected. 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 América Móvil. de after the latest results.
Following the latest results, América Móvil. de's 16 analysts are now forecasting revenues of Mex$1.03t in 2027. This would be a credible 5.5% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to shoot up 32% to Mex$2.01. Before this earnings report, the analysts had been forecasting revenues of Mex$1.02t and earnings per share (EPS) of Mex$1.93 in 2027. So the consensus seems to have become somewhat more optimistic on América Móvil. de's earnings potential following these results.
See our latest analysis for América Móvil. de
There's been no major changes to the consensus price target of Mex$25.05, suggesting that the improved earnings per share outlook is not enough to have a long-term positive impact on the stock's valuation. There's another way to think about price targets though, and that's to look at the range of price targets put forward by analysts, because a wide range of estimates could suggest a diverse view on possible outcomes for the business. There are some variant perceptions on América Móvil. de, with the most bullish analyst valuing it at Mex$28.50 and the most bearish at Mex$18.00 per share. This shows there is still a bit of diversity in estimates, but analysts don't appear to be totally split on the stock as though it might be a success or failure situation.
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 period to the end of 2027 brings more of the same, according to the analysts, with revenue forecast to display 4.4% growth on an annualised basis. That is in line with its 4.0% annual growth over the past five years. Compare this with the broader industry (in aggregate), which analyst estimates suggest will see revenues grow 5.8% annually. So although América Móvil. de is expected to maintain its revenue growth rate, it's forecast to grow slower than the wider 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 América Móvil. de following these results. Fortunately, the analysts also reconfirmed their revenue estimates, suggesting that it's tracking in line with expectations. Although our data does suggest that América Móvil. de's revenue is expected to perform worse than the wider industry. The consensus price target held steady at Mex$25.05, with the latest estimates not enough to have an impact on their price targets.
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 América Móvil. de going out to 2028, and you can see them free on our platform here..
That said, it's still necessary to consider the ever-present spectre of investment risk. We've identified 2 warning signs with América Móvil. de , and understanding these should be part of your investment process.
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