Yahoo Finance How Do Analysts See intu properties plc (LON:INTU) Performing Over The Next Few Years?
The latest earnings update intu properties plc (LON:INTU) released in December 2017 showed that the company benefited from a strong tailwind, leading to a double-digit earnings growth of 18.61%. Below, I’ve presented key growth figures on how market analysts predict intu properties’s earnings growth outlook over the next few 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 out our latest analysis for intu properties
Analysts’ expectations for this coming year seems pessimistic, with earnings turning into a loss in 2019. Though this loss doesn’t seem to last long as INTU turns profitable again by 2021 with earnings expected to be -UK£452.57m.
While it is useful to understand the growth each year relative to today’s level, it may be more valuable to determine the rate at which the company is rising or falling on average every year. The advantage of this method is that it ignores near term flucuations and accounts for the overarching direction of intu properties’s earnings trajectory over time, which may be more relevant for long term investors. To compute this rate, I’ve inserted 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 46.20%. This means that, we can assume intu properties will grow its earnings by 46.20% every year for the next few years.
Next Steps:
For intu properties, I’ve compiled three key factors 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 INTU 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 INTU is currently mispriced by the market.
Other High-Growth Alternatives: Are there other high-growth stocks you could be holding instead of INTU? Explore our interactive list of stocks with large growth potential to get an idea of what else is out there you may be missing!
To help readers see pass the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price sensitive company announcements.
The author is an independent contributor and at the time of publication had no position in the stocks mentioned.
