After Bobst Group SA's (VTX:BOBNN) earnings announcement in December 2018, analysts seem fairly confident, with earnings expected to grow by 42% in the upcoming year against the past 5-year average growth rate of 21%. By 2020, we can expect Bobst Group's bottom line to reach CHF90m, a jump from the current trailing-twelve-month of CHF64m. I will provide a brief commentary around the figures and analyst expectations in the near term. Investors wanting to learn more about other aspects of the company should research its fundamentals here.
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View our latest analysis for Bobst Group
Can we expect Bobst Group to keep growing?
The view from 6 analysts over the next three years is one of positive sentiment. Generally, broker analysts tend to make predictions for up to three years given the lack of visibility beyond this point. To get an idea of the overall earnings growth trend for BOBNN, I've plotted out each year's earnings expectations and inserted a line of best fit to determine an annual rate of growth from the slope of this line.
From the current net income level of CHF64m and the final forecast of CHF113m by 2022, the annual rate of growth for BOBNN's earnings is 17%. EPS reaches CHF6.77 in the final year of forecast compared to the current CHF3.84 EPS today. In 2022, BOBNN's profit margin will have expanded from 3.9% to 6.4%.
Future outlook is only one aspect when you're building an investment case for a stock. For Bobst Group, I've put together three fundamental aspects you should look at:
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.
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