Yahoo Finance Roper Technologies, Inc. Just Recorded A 16% EPS Beat: Here's What Analysts Are Forecasting Next
Shareholders might have noticed that Roper Technologies, Inc. (NASDAQ:ROP) filed its first-quarter result this time last week. The early response was not positive, with shares down 4.7% to US$514 in the past week. It looks like a credible result overall - although revenues of US$1.7b were in line with what the analysts predicted, Roper Technologies surprised by delivering a statutory profit of US$3.54 per share, a notable 16% above expectations. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year.
See our latest analysis for Roper Technologies
After the latest results, the 14 analysts covering Roper Technologies are now predicting revenues of US$6.92b in 2024. If met, this would reflect a decent 8.2% improvement in revenue compared to the last 12 months. Statutory earnings per share are forecast to shrink 5.0% to US$13.01 in the same period. In the lead-up to this report, the analysts had been modelling revenues of US$6.89b and earnings per share (EPS) of US$12.83 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.
The analysts reconfirmed their price target of US$600, showing that the business is executing well and in line with expectations. That's not the only conclusion we can draw from this data however, as some investors also like to consider the spread in estimates when evaluating analyst price targets. There are some variant perceptions on Roper Technologies, with the most bullish analyst valuing it at US$690 and the most bearish at US$480 per share. There are definitely some different views on the stock, but the range of estimates is not wide enough as to imply that the situation is unforecastable, in our view.
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. The analysts are definitely expecting Roper Technologies' growth to accelerate, with the forecast 11% annualised growth to the end of 2024 ranking favourably alongside historical growth of 3.8% per annum over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 13% annually. Factoring in the forecast acceleration in revenue, it's pretty clear that Roper Technologies is expected to grow at about the same rate as the wider industry.
The Bottom Line
The most important thing to take away is that there's been no major change in sentiment, with the analysts reconfirming that the business is performing in line with their previous earnings per share estimates. Happily, there were no real changes to revenue forecasts, with the business still expected to grow in line with the overall 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 Roper Technologies going out to 2026, and you can see them free on our platform here..
Before you take the next step you should know about the 1 warning sign for Roper Technologies that we have uncovered.
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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.
