Yahoo Finance What Should You Know About Amplifon SpA’s (BIT:AMP) Growth?
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Since Amplifon SpA (BIT:AMP) released its earnings in September 2018, the consensus outlook from analysts appear somewhat bearish, with profits predicted to rise by 12% next year compared with the higher past 5-year average growth rate of 30%. By 2020, we can expect Amplifon’s bottom line to reach €113m, a jump from the current trailing-twelve-month of €101m. 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. Investors wanting to learn more about other aspects of the company should research its fundamentals here.
See our latest analysis for Amplifon
How will Amplifon perform in the near future?
The 11 analysts covering AMP view its longer term outlook with a positive sentiment. Since forecasting becomes more difficult further into the future, broker analysts generally project out to around three years. To understand the overall trajectory of AMP’s earnings growth over these next fews years, I’ve fitted a line through these analyst earnings forecast to determine an annual growth rate from the slope.
By 2022, AMP’s earnings should reach €154m, from current levels of €101m, resulting in an annual growth rate of 14%. This leads to an EPS of €0.75 in the final year of projections relative to the current EPS of €0.46. With a current profit margin of 7.9%, this movement will result in a margin of 8.2% 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 pertinent aspects you should look at:
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!
To help readers see past 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. For errors that warrant correction please contact the editor at editorial-team@simplywallst.com.
