Yahoo Finance How Do Analysts See United Carpets Group plc (LON:UCG) Performing In The Next 12 Months?
Looking at United Carpets Group plc's (LON:UCG) earnings update on 31 March 2019, the consensus outlook from analysts appear fairly confident, with earnings expected to grow by 20% in the upcoming year compared with the past 5-year average growth rate of -5.9%. Presently, with latest-twelve-month earnings at UK£418k, we should see this growing to UK£500k by 2020. In this article, I've outline a few earnings growth rates to give you a sense of the market sentiment for United Carpets Group in the longer term. Investors wanting to learn more about other aspects of the company should research its fundamentals here.
See our latest analysis for United Carpets Group
Can we expect United Carpets Group to keep growing?
Longer term expectations from the 1 analysts covering UCG’s stock is one of positive sentiment. Broker analysts tend to forecast up to three years ahead due to a lack of clarity around the business trajectory beyond this. I've plotted out each year's earnings expectations and inserted a line of best fit to calculate an annual growth rate from the slope in order to understand the overall trajectory of UCG's earnings growth over these next few years.
By 2022, UCG's earnings should reach UK£600k, from current levels of UK£418k, resulting in an annual growth rate of 11%. EPS reaches £0.0070 in the final year of forecast compared to the current £0.0051 EPS today. In 2022, UCG's profit margin will have expanded from 1.7% to 1.8%.
Next Steps:
Future outlook is only one aspect when you're building an investment case for a stock. For United Carpets Group, I've compiled three essential 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 United Carpets Group 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 United Carpets Group is currently mispriced by the market.
Other High-Growth Alternatives : Are there other high-growth stocks you could be holding instead of United Carpets Group? 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.
