Industry Analysts Just Upgraded Their Companhia de Saneamento de Minas Gerais (BVMF:CSMG3) Revenue Forecasts By 14%
Celebrations may be in order for Companhia de Saneamento de Minas Gerais (BVMF:CSMG3) shareholders, with the analysts delivering a significant upgrade to their statutory estimates for the company. The consensus estimated revenue numbers rose, with their view now clearly much more bullish on the company's business prospects.
Following the upgrade, the most recent consensus for Companhia de Saneamento de Minas Gerais from its seven analysts is for revenues of R$9.2b in 2026 which, if met, would be a decent 11% increase on its sales over the past 12 months. Per-share earnings are expected to rise 4.2% to R$3.55. Previously, the analysts had been modelling revenues of R$8.1b and earnings per share (EPS) of R$3.37 in 2026. Sentiment certainly seems to have improved in recent times, with a nice increase in revenue and a slight bump in earnings per share estimates.
Check out our latest analysis for Companhia de Saneamento de Minas Gerais
Although the analysts have upgraded their earnings estimates, there was no change to the consensus price target of R$73.14, suggesting that the forecast performance does not have a long term impact on the company's valuation.
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. The analysts are definitely expecting Companhia de Saneamento de Minas Gerais' growth to accelerate, with the forecast 22% annualised growth to the end of 2026 ranking favourably alongside historical growth of 9.1% per annum over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 2.7% per year. It seems obvious that, while the growth outlook is brighter than the recent past, the analysts also expect Companhia de Saneamento de Minas Gerais to grow faster than the wider industry.
The Bottom Line
The biggest takeaway for us from these new estimates is that analysts upgraded their earnings per share estimates, with improved earnings power expected for this year. Fortunately, analysts also upgraded their revenue estimates, and our data indicates sales are expected to perform better than the wider market. Seeing the dramatic upgrade to this year's forecasts, it might be time to take another look at Companhia de Saneamento de Minas Gerais.
With that said, the long-term trajectory of the company's earnings is a lot more important than next year. At Simply Wall St, we have a full range of analyst estimates for Companhia de Saneamento de Minas Gerais going out to 2028, and you can see them free on our platform here..
Another thing to consider is whether management and directors have been buying or selling stock recently. We provide an overview of all open market stock trades for the last twelve months on our platform, here.
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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.