Results: Atlanta Braves Holdings, Inc. Delivered A Surprise Loss And Now Analysts Have New Forecasts

Last week, you might have seen that Atlanta Braves Holdings, Inc. (NASDAQ:BATR.K) released its quarterly result to the market. The early response was not positive, with shares down 2.2% to US$34.48 in the past week. It was a pretty negative result overall, with revenues of US$245m missing analyst predictions by 8.7%. Worse, the business reported a statutory loss of US$0.10 per share, a substantial decline on analyst expectations of a profit. The analysts 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 collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.

Check out our latest analysis for Atlanta Braves Holdings

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Following the latest results, Atlanta Braves Holdings' four analysts are now forecasting revenues of US$659.5m in 2024. This would be a satisfactory 2.4% improvement in revenue compared to the last 12 months. Earnings are expected to improve, with Atlanta Braves Holdings forecast to report a statutory profit of US$0.01 per share. In the lead-up to this report, the analysts had been modelling revenues of US$660.0m and earnings per share (EPS) of US$0.01 in 2024. So it's pretty clear that, although the analysts have updated their estimates, there's been no major change in expectations for the business following the latest results.

It will come as no surprise then, to learn that the consensus price target is largely unchanged at US$50.75. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. Currently, the most bullish analyst values Atlanta Braves Holdings at US$58.00 per share, while the most bearish prices it at US$41.00. These price targets show that analysts do have some differing views on the business, but the estimates do not vary enough to suggest to us that some are betting on wild success or utter failure.

Looking at the bigger picture now, one of the ways we can make sense of these forecasts is to see how they measure up against both past performance and industry growth estimates. It's pretty clear that there is an expectation that Atlanta Braves Holdings' revenue growth will slow down substantially, with revenues to the end of 2024 expected to display 1.9% growth on an annualised basis. This is compared to a historical growth rate of 12% over the past five years. Compare this against other companies (with analyst forecasts) in the industry, which are in aggregate expected to see revenue growth of 8.2% annually. So it's pretty clear that, while revenue growth is expected to slow down, the wider industry is also expected to grow faster than Atlanta Braves Holdings.

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. Fortunately, the analysts also reconfirmed their revenue estimates, suggesting that it's tracking in line with expectations. Although our data does suggest that Atlanta Braves Holdings' revenue is expected to perform worse 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.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. At Simply Wall St, we have a full range of analyst estimates for Atlanta Braves Holdings going out to 2025, 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 Atlanta Braves Holdings 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.