Zaptec ASA Just Beat EPS By 30%: Here's What Analysts Think Will Happen Next
Zaptec ASA (OB:ZAP) defied analyst predictions to release its second-quarter results, which were ahead of market expectations. It was overall a positive result, with revenues beating expectations by 5.7% to hit kr506m. Zaptec also reported a statutory profit of kr0.65, which was an impressive 30% above what the analysts had forecast. The analysts typically update their forecasts at each earnings report, and we can judge from their estimates whether their view of the company has changed or if there are any new concerns to be aware of. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.
Following the latest results, Zaptec's three analysts are now forecasting revenues of kr2.00b in 2026. This would be a meaningful 13% improvement in revenue compared to the last 12 months. Per-share earnings are expected to soar 42% to kr1.81. In the lead-up to this report, the analysts had been modelling revenues of kr1.94b and earnings per share (EPS) of kr1.47 in 2026. There's been a pretty noticeable increase in sentiment, with the analysts upgrading revenues and making a considerable lift to earnings per share in particular.
See our latest analysis for Zaptec
With these upgrades, we're not surprised to see that the analysts have lifted their price target 10.0% to kr62.33per share. 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 Zaptec analyst has a price target of kr65.00 per share, while the most pessimistic values it at kr60.00. With such a narrow range of valuations, the analysts apparently share similar views on what they think the business is worth.
Of course, another way to look at these forecasts is to place them into context against the industry itself. The period to the end of 2026 brings more of the same, according to the analysts, with revenue forecast to display 28% growth on an annualised basis. That is in line with its 25% annual growth over the past five years. Compare this with the broader industry, which analyst estimates (in aggregate) suggest will see revenues grow 9.9% annually. So although Zaptec is expected to maintain its revenue growth rate, it's definitely expected to grow faster than the wider industry.
The Bottom Line
The most important thing here is that the analysts upgraded their earnings per share estimates, suggesting that there has been a clear increase in optimism towards Zaptec following these results. Pleasantly, they also upgraded their revenue estimates, and their forecasts suggest the business is expected to grow faster than the wider industry. There was also a nice increase in the price target, with the analysts clearly feeling that the intrinsic value of the business is improving.
With that in mind, we wouldn't be too quick to come to a conclusion on Zaptec. Long-term earnings power is much more important than next year's profits. At Simply Wall St, we have a full range of analyst estimates for Zaptec 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.