Yahoo Finance Results: Huron Consulting Group Inc. Beat Earnings Expectations And Analysts Now Have New Forecasts
Huron Consulting Group Inc. (NASDAQ:HURN) just released its latest first-quarter results and things are looking bullish. Huron Consulting Group beat earnings, with revenues hitting US$356m, ahead of expectations, and statutory earnings per share outperforming analyst reckonings by a solid 18%. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year.
See our latest analysis for Huron Consulting Group
After the latest results, the four analysts covering Huron Consulting Group are now predicting revenues of US$1.50b in 2024. If met, this would reflect an okay 7.2% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to shoot up 32% to US$5.31. Before this earnings report, the analysts had been forecasting revenues of US$1.50b and earnings per share (EPS) of US$5.29 in 2024. The consensus analysts don't seem to have seen anything in these results that would have changed their view on the business, given there's been no major change to their estimates.
The analysts reconfirmed their price target of US$138, showing that the business is executing well and in line with expectations. That's not the only conclusion we can draw from this data however, as some investors also like to consider the spread in estimates when evaluating analyst price targets. The most optimistic Huron Consulting Group analyst has a price target of US$140 per share, while the most pessimistic values it at US$133. With such a narrow range of valuations, the analysts apparently share similar views on what they think the business is worth.
These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Huron Consulting Group's past performance and to peers in the same industry. We can infer from the latest estimates that forecasts expect a continuation of Huron Consulting Group'shistorical trends, as the 9.7% annualised revenue growth to the end of 2024 is roughly in line with the 11% annual growth over the past five years. Compare this with the broader industry, which analyst estimates (in aggregate) suggest will see revenues grow 5.6% annually. So although Huron Consulting Group is expected to maintain its revenue growth rate, it's definitely expected to grow faster than the wider industry.
The Bottom Line
The most obvious conclusion is that there's been no major change in the business' prospects in recent times, with the analysts holding their earnings forecasts steady, in line with previous estimates. Happily, there were no major changes to revenue forecasts, with the business still expected to grow faster than the wider industry. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.
Following on from that line of thought, we think that the long-term prospects of the business are much more relevant than next year's earnings. We have forecasts for Huron Consulting Group going out to 2025, and you can see them free on our platform here.
That said, it's still necessary to consider the ever-present spectre of investment risk. We've identified 2 warning signs with Huron Consulting Group (at least 1 which is concerning) , and understanding them should be part of your investment process.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
