Yahoo Finance How Do Analysts See Amplifon SpA (BIT:AMP) Performing In The Next 12 Months?
In March 2019, Amplifon SpA (BIT:AMP) released its earnings update. Generally, analysts seem cautiously optimistic, as upcoming earnings growth is expected to be 25% next year, similar to the range of average earnings growth for the past five years of 26% per year. By 2020, we can expect Amplifon’s bottom line to reach €126m, a jump from the current trailing-twelve-month of €100m. In this article, I've outline a few earnings growth rates to give you a sense of the market sentiment for Amplifon in the longer term. For those interested in more of an analysis of the company, you can research its fundamentals here.
See our latest analysis for Amplifon
Exciting times ahead?
The 11 analysts covering AMP view its longer term outlook with a positive sentiment. Generally, broker analysts tend to make predictions for up to three years given the lack of visibility beyond this point. To reduce the year-on-year volatility of analyst earnings forecast, I've inserted a line of best fit through the expected earnings figures to determine the annual growth rate from the slope of the line.
From the current net income level of €100m and the final forecast of €184m by 2022, the annual rate of growth for AMP’s earnings is 18%. This leads to an EPS of €0.85 in the final year of projections relative to the current EPS of €0.46. Margins are currently sitting at 7.4%, which is expected to expand to 9.6% by 2022.
Next Steps:
Future outlook is only one aspect when you're building an investment case for a stock. For Amplifon, I've put together three important aspects you should further research:
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 Amplifon 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 Amplifon is currently mispriced by the market.
Other High-Growth Alternatives : Are there other high-growth stocks you could be holding instead of Amplifon? Explore our interactive list of stocks with large growth potential to get an idea of what else is out there you may be missing!
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.
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.
