Yahoo Finance What Are Analysts Saying About Moncler S.p.A.’s (BIT:MONC) Earnings Outlook?
Moncler S.p.A.’s (BIT:MONC) released its most recent earnings update in December 2018, which revealed that the company experienced a robust tailwind, eventuating to a double-digit earnings growth of 33%. Below, I’ve presented key growth figures on how market analysts predict Moncler’s earnings growth trajectory over the next couple of years and whether the future looks even brighter than the past. I will be using net income excluding extraordinary items in order to exclude one-off volatility which I am not interested in.
View our latest analysis for Moncler
Analysts’ outlook for the coming year seems rather muted, with earnings climbing by a single digit 7.3%. The growth outlook in the following year seems much more buoyant with rates arriving at double digit 14% compared to today’s earnings, and finally hitting €432m by 2022.
While it’s informative knowing the growth rate each year relative to today’s figure, it may be more insightful gauging the rate at which the earnings are rising or falling on average every year. The pro of this approach is that it ignores near term flucuations and accounts for the overarching direction of Moncler’s earnings trajectory over time, which may be more relevant for long term investors. To compute this rate, I put a line of best fit through the forecasted earnings by market analysts. The slope of this line is the rate of earnings growth, which in this case is 8.1%. This means, we can assume Moncler will grow its earnings by 8.1% every year for the next few years.
Next Steps:
For Moncler, there are three pertinent aspects you should further examine:
Financial Health: Does it have a healthy balance sheet? Take a look at our free balance sheet analysis with six simple checks on key factors like leverage and risk.
Valuation: What is MONC worth today? Is the stock undervalued, even when its growth outlook is factored into its intrinsic value? The intrinsic value infographic in our free research report helps visualize whether MONC is currently mispriced by the market.
Other High-Growth Alternatives: Are there other high-growth stocks you could be holding instead of MONC? Explore our interactive list of stocks with large growth potential to get an idea of what else is out there you may be missing!
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If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading.
