EPA:DIM) earnings announcement in June 2019, analysts seem cautiously bearish, with earnings expected to grow by 12% in the upcoming year relative to the higher past 5-year average growth rate of 22%. Presently, with latest-twelve-month earnings at €208m, we should see this growing to €233m by 2020. Below is a brief commentary on the longer term outlook the market has for Sartorius Stedim Biotech. Readers that are interested in understanding the company beyond these figures shouldresearch its fundamentals here.” data-reactid=”27″ type=”text”>After Sartorius Stedim Biotech S.A.’s (EPA:DIM) earnings announcement in June 2019, analysts seem cautiously bearish, with earnings expected to grow by 12% in the upcoming year relative to the higher past 5-year average growth rate of 22%. Presently, with latest-twelve-month earnings at €208m, we should see this growing to €233m by 2020. Below is a brief commentary on the longer term outlook the market has for Sartorius Stedim Biotech. Readers that are interested in understanding the company beyond these figures shouldresearch its fundamentals here.

See our latest analysis for Sartorius Stedim Biotech” data-reactid=”28″ type=”text”>See our latest analysis for Sartorius Stedim Biotech

What can we expect from Sartorius Stedim Biotech in the longer term?

The longer term expectations from the 6 analysts of DIM is tilted towards the positive sentiment. Broker analysts tend to forecast up to three years ahead due to a lack of clarity around the business trajectory beyond this. To get an idea of the overall earnings growth trend for DIM, I’ve plotted out each year’s earnings expectations and inserted a line of best fit to determine an annual rate of growth from the slope of this line.

ENXTPA:DIM Past and Future Earnings, August 30th 2019

By 2022, DIM’s earnings should reach €310m, from current levels of €208m, resulting in an annual growth rate of 14%. EPS reaches €3.86 in the final year of forecast compared to the current €2.26 EPS today. With a current profit margin of 17%, this movement will result in a margin of 18% by 2022.

Next Steps:

Future outlook is only one aspect when you’re building an investment case for a stock. For Sartorius Stedim Biotech, I’ve put together three key factors you should further examine:

  1. Financial Health: Does it have a healthy balance sheet? Take a look at ourfree balance sheet analysis with six simple checkson key factors like leverage and risk.
  2. Valuation: What is Sartorius Stedim Biotech worth today? Is the stock undervalued, even when its growth outlook is factored into its intrinsic value? Theintrinsic value infographic in our free research reporthelps visualize whether Sartorius Stedim Biotech is currently mispriced by the market.
  3. Other High-Growth Alternatives: Are there other high-growth stocks you could be holding instead of Sartorius Stedim Biotech? Exploreour interactive list of stocks with large growth potentialto get an idea

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