Worldline SA (EPA:WLN) Just Reported Interim Earnings: Have Analysts Changed Their Mind On The Stock?
The investors in Worldline SA's (EPA:WLN) will be rubbing their hands together with glee today, after the share price leapt 29% to €13.51 in the week following its half-yearly results. The results were positive, with revenue coming in at €1.9b, beating analyst expectations by 4.3%. 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. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analysts have changed their mind on Worldline after the latest results.
Following the recent earnings report, the consensus from 13 analysts covering Worldline is for revenues of €3.73b in 2026. This implies a perceptible 5.8% decline in revenue compared to the last 12 months. Losses are predicted to fall substantially, shrinking 81% to €3.36. Yet prior to the latest earnings, the analysts had been forecasting revenues of €3.75b and losses of €4.34 per share in 2026. While the revenue estimates were largely unchanged, sentiment seems to have improved, with the analysts upgrading their numbers and making a considerable decrease in losses per share in particular.
View our latest analysis for Worldline
The average price target held steady at €12.23, seeming to indicate that business is performing in line with expectations. 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 Worldline analyst has a price target of €17.20 per share, while the most pessimistic values it at €8.00. 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.
These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Worldline's past performance and to peers in the same industry. These estimates imply that revenue is expected to slow, with a forecast annualised decline of 11% by the end of 2026. This indicates a significant reduction from annual growth of 1.5% over the last five years. Compare this with our data, which suggests that other companies in the same industry are, in aggregate, expected to see their revenue grow 3.0% per year. It's pretty clear that Worldline's revenues are expected to perform substantially worse than the wider industry.
The Bottom Line
The most important thing to take away is that the analysts reconfirmed their loss per share estimates for next year. On the plus side, there were no major changes to revenue estimates; although forecasts imply they will perform worse than the wider industry. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.
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. We have forecasts for Worldline going out to 2028, and you can see them free on our platform here.
Plus, you should also learn about the 2 warning signs we've spotted with Worldline .
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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.