As you might know, Acadian Timber Corp. (TSE:ADN) recently reported its second-quarter numbers. Revenues were CA$15m, 22% shy of what the analyst was expecting, although statutory earnings of CA$0.07 per share were roughly in line with what was forecast. Following the result, the analyst has updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. With this in mind, we've gathered the latest statutory forecasts to see what the analyst is expecting for next year.
Following the latest results, Acadian Timber's sole analyst are now forecasting revenues of CA$107.4m in 2026. This would be a substantial 29% improvement in revenue compared to the last 12 months. Statutory earnings per share are forecast to plummet 70% to CA$0.77 in the same period. In the lead-up to this report, the analyst had been modelling revenues of CA$104.7m and earnings per share (EPS) of CA$0.78 in 2026. There doesn't appear to have been a major change in sentiment following the results, other than the small lift in revenue estimates.
Check out our latest analysis for Acadian Timber
Even though revenue forecasts increased, there was no change to the consensus price target of CA$18.25, suggesting the analyst is focused on earnings as the driver of value creation.
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. The analyst is definitely expecting Acadian Timber's growth to accelerate, with the forecast 68% annualised growth to the end of 2026 ranking favourably alongside historical growth of 0.005% per annum over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 6.2% per year. Factoring in the forecast acceleration in revenue, it's pretty clear that Acadian Timber is expected to grow much faster than its 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 analyst holding their earnings forecasts steady, in line with previous estimates. Happily, they also upgraded their revenue estimates, and are forecasting them to grow faster than the wider industry. The consensus price target held steady at CA$18.25, with the latest estimates not enough to have an impact on their price target.
With that said, the long-term trajectory of the company's earnings is a lot more important than next year. At least one analyst has provided forecasts out to 2028, which can be seen for free on our platform here.
Don't forget that there may still be risks. For instance, we've identified 3 warning signs for Acadian Timber (1 doesn't sit too well with us) you should be aware of.
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