Yahoo Finance How Do Analysts See Ingenico Group – GCS (EPA:ING) Performing In The Next Couple Of Years?
The latest earnings release Ingenico Group – GCS’s (EPA:ING) announced in December 2018 indicated that the business faced a major headwind with earnings falling by -27%. Below is a brief commentary on my key takeaways on how market analysts predict Ingenico Group – GCS’s earnings growth outlook over the next couple of years and whether the future looks brighter. Note that I will be looking at net income excluding extraordinary items to get a better understanding of the underlying drivers of earnings.
See our latest analysis for Ingenico Group – GCS
Analysts’ expectations for next year seems positive, with earnings growing by a robust 18%. This growth seems to continue into the following year with rates arriving at double digit 53% compared to today’s earnings, and finally hitting €331m by 2022.
Although it’s useful to be aware of the rate of growth each year relative to today’s figure, it may be more valuable to evaluate the rate at which the earnings are growing on average every year. The pro of this method is that we can get a bigger picture of the direction of Ingenico Group – GCS’s earnings trajectory over the long run, irrespective of near term fluctuations, which may be more relevant for long term investors. To calculate this rate, I’ve appended a line of best fit through analyst consensus of forecasted earnings. The slope of this line is the rate of earnings growth, which in this case is 19%. This means, we can presume Ingenico Group – GCS will grow its earnings by 19% every year for the next couple of years.
Next Steps:
For Ingenico Group – GCS, I’ve compiled three relevant 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 ING 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 ING is currently mispriced by the market.
Other High-Growth Alternatives: Are there other high-growth stocks you could be holding instead of ING? 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.
