Ibstock plc (LON:IBST) last week reported its latest half-yearly results, which makes it a good time for investors to dive in and see if the business is performing in line with expectations. Revenues came in 5.6% below expectations, at UK£164m. Statutory earnings per share were relatively better off, with a per-share profit of UK£0.008 being roughly in line with analyst estimates. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.
Following the latest results, Ibstock's ten analysts are now forecasting revenues of UK£350.3m in 2026. This would be a reasonable 2.2% improvement in revenue compared to the last 12 months. Earnings are expected to improve, with Ibstock forecast to report a statutory profit of UK£0.03 per share. In the lead-up to this report, the analysts had been modelling revenues of UK£357.3m and earnings per share (EPS) of UK£0.023 in 2026. Although the revenue estimates have not really changed, we can see there's been a great increase in earnings per share expectations, suggesting that the analysts have become more bullish after the latest result.
Check out our latest analysis for Ibstock
There's been no major changes to the consensus price target of UK£1.16, suggesting that the improved earnings per share outlook is not enough to have a long-term positive impact on the stock's valuation. The consensus price target is just an average of individual analyst targets, so - it could be handy to see how wide the range of underlying estimates is. There are some variant perceptions on Ibstock, with the most bullish analyst valuing it at UK£1.36 and the most bearish at UK£0.91 per share. As you can see, analysts are not all in agreement on the stock's future, but the range of estimates is still reasonably narrow, which could suggest that the outcome is not totally unpredictable.
Another way we can view these estimates is in the context of the bigger picture, such as how the forecasts stack up against past performance, and whether forecasts are more or less bullish relative to other companies in the industry. One thing stands out from these estimates, which is that Ibstock is forecast to grow faster in the future than it has in the past, with revenues expected to display 4.4% annualised growth until the end of 2026. If achieved, this would be a much better result than the 4.9% annual decline over the past five years. Compare this against analyst estimates for the broader industry, which suggest that (in aggregate) industry revenues are expected to grow 4.0% annually. So it looks like Ibstock is expected to grow at about the same rate as the wider industry.
The Bottom Line
The most important thing here is that the analysts upgraded their earnings per share estimates, suggesting that there has been a clear increase in optimism towards Ibstock following these results. They also reconfirmed their revenue estimates, with the company predicted to grow at about the same rate as the wider industry. The consensus price target held steady at UK£1.16, with the latest estimates not enough to have an impact on their price targets.
With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have estimates - from multiple Ibstock analysts - going out to 2028, and you can see them free on our platform here.
And what about risks? Every company has them, and we've spotted 2 warning signs for Ibstock you should know about.
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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.