Analysts Are Updating Their Amrize AG (VTX:AMRZ) Estimates After Its First-Quarter Results
Last week, you might have seen that Amrize AG (VTX:AMRZ) released its first-quarter result to the market. The early response was not positive, with shares down 4.2% to CHF42.76 in the past week. It was a pretty bad result overall; while revenues were in line with expectations at US$2.2b, statutory losses exploded to US$0.21 per share. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year.
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Taking into account the latest results, the consensus forecast from Amrize's 21 analysts is for revenues of US$12.4b in 2026. This reflects a credible 4.3% improvement in revenue compared to the last 12 months. Per-share earnings are expected to jump 24% to US$2.58. Yet prior to the latest earnings, the analysts had been anticipated revenues of US$12.4b and earnings per share (EPS) of US$2.69 in 2026. The analysts seem to have become a little more negative on the business after the latest results, given the small dip in their earnings per share numbers for next year.
The consensus price target held steady at CHF50.47, with the analysts seemingly voting that their lower forecast earnings are not expected to lead to a lower stock price in the foreseeable future. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. The most optimistic Amrize analyst has a price target of CHF56.75 per share, while the most pessimistic values it at CHF44.04. With such a narrow range of valuations, the analysts apparently share similar views on what they think the business is worth.
One way to get more context on these forecasts is to look at how they compare to both past performance, and how other companies in the same industry are performing. The analysts are definitely expecting Amrize's growth to accelerate, with the forecast 5.8% annualised growth to the end of 2026 ranking favourably alongside historical growth of 2.5% per annum over the past year. Other similar companies in the industry (with analyst coverage) are also forecast to grow their revenue at 5.0% per year. Factoring in the forecast acceleration in revenue, it's pretty clear that Amrize is expected to grow at about the same rate as the wider industry.
The biggest concern is that the analysts reduced their earnings per share estimates, suggesting business headwinds could lay ahead for Amrize. Happily, there were no real changes to revenue forecasts, with the business still expected to grow in line with the overall industry. The consensus price target held steady at CHF50.47, with the latest estimates not enough to have an impact on their price targets.
Following on from that line of thought, we think that the long-term prospects of the business are much more relevant than next year's earnings. At Simply Wall St, we have a full range of analyst estimates for Amrize 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 Amrize you should know about.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.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.