Yahoo Finance Plumas Bancorp Earnings Missed Analyst Estimates: Here's What Analysts Are Forecasting Now
Last week saw the newest first-quarter earnings release from Plumas Bancorp (NASDAQ:PLBC), an important milestone in the company's journey to build a stronger business. It was not a great result overall. While revenues of US$20m were in line with analyst predictions, earnings were less than expected, missing statutory estimates by 12% to hit US$1.05 per share. The analyst typically update their forecasts at each earnings report, and we can judge from their estimates whether their view of the company has changed or if there are any new concerns to be aware of. So we gathered the latest post-earnings forecasts to see what estimate suggests is in store for next year.
See our latest analysis for Plumas Bancorp
After the latest results, the consensus from Plumas Bancorp's sole analyst is for revenues of US$60.3m in 2024, which would reflect a disturbing 22% decline in revenue compared to the last year of performance. Statutory earnings per share are expected to reduce 9.7% to US$4.35 in the same period. Yet prior to the latest earnings, the analyst had been anticipated revenues of US$81.0m and earnings per share (EPS) of US$4.80 in 2024. It looks like sentiment has fallen somewhat in the aftermath of these results, with a large cut to revenue estimates and a minor downgrade to earnings per share numbers as well.
The average price target climbed 5.3% to US$40.00despite the reduced earnings forecasts, suggesting that this earnings impact could be a positive for the stock, once it passes.
One way to get more context on these forecasts is to look at how they compare to both past performance, and how other companies in the same industry are performing. These estimates imply that revenue is expected to slow, with a forecast annualised decline of 28% by the end of 2024. This indicates a significant reduction from annual growth of 15% over the last five years. By contrast, our data suggests that other companies (with analyst coverage) in the same industry are forecast to see their revenue grow 5.8% annually for the foreseeable future. So although its revenues are forecast to shrink, this cloud does not come with a silver lining - Plumas Bancorp is expected to lag the wider industry.
The Bottom Line
The most important thing to take away is that the analyst downgraded their earnings per share estimates, showing that there has been a clear decline in sentiment following these results. Unfortunately, they also downgraded their revenue estimates, and our data indicates underperformance compared to the wider industry. Even so, earnings per share are more important to the intrinsic value of the business. There was also a nice increase in the price target, with the analyst clearly feeling that the intrinsic value of the business is improving.
With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have analyst estimates for Plumas Bancorp going out as far as 2025, and you can see them free on our platform here.
Even so, be aware that Plumas Bancorp is showing 2 warning signs in our investment analysis , and 1 of those doesn't sit too well with us...
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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.
