United Internet AG Just Missed EPS By 19%: Here's What Analysts Think Will Happen Next

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There's been a notable change in appetite for United Internet AG (ETR:UTDI) shares in the week since its third-quarter report, with the stock down 17% to €15.80. Revenue was €3.1b beating expectations by a remarkable 94%. Statutory earnings per share (EPS) fell 19% short of estimates, at €0.23 per share. 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. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.

See our latest analysis for United Internet

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XTRA:UTDI Earnings and Revenue Growth November 15th 2024

After the latest results, the twelve analysts covering United Internet are now predicting revenues of €6.68b in 2025. If met, this would reflect a credible 5.9% improvement in revenue compared to the last 12 months. Earnings are expected to improve, with United Internet forecast to report a statutory profit of €2.06 per share. Yet prior to the latest earnings, the analysts had been anticipated revenues of €6.69b and earnings per share (EPS) of €2.05 in 2025. 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.

It will come as no surprise then, to learn that the consensus price target is largely unchanged at €26.74. 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 United Internet analyst has a price target of €42.00 per share, while the most pessimistic values it at €17.50. Note the wide gap in analyst price targets? This implies to us that there is a fairly broad range of possible scenarios for the underlying business.

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. We can infer from the latest estimates that forecasts expect a continuation of United Internet'shistorical trends, as the 4.7% annualised revenue growth to the end of 2025 is roughly in line with the 4.4% annual growth over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to see their revenues grow 2.3% per year. So although United Internet is expected to maintain its revenue growth rate, it's definitely expected to grow faster than the wider industry.