Citizens, Inc. (NYSE:CIA) missed earnings with its latest first-quarter results, disappointing overly-optimistic forecasts. Results showed a clear earnings miss, with US$60m revenue coming in 2.4% lower than what the analystexpected. Statutory earnings per share (EPS) of US$0.04 missed the mark badly, arriving some 20% below what was expected. Earnings are an important time for investors, as they can track a company's performance, look at what the analyst is 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 analyst is expecting for next year.

Following last week's earnings report, Citizens' single analyst are forecasting 2026 revenues to be US$259.3m, approximately in line with the last 12 months. Statutory earnings per share are forecast to descend 18% to US$0.30 in the same period. Yet prior to the latest earnings, the analyst had been anticipated revenues of US$260.9m and earnings per share (EPS) of US$0.37 in 2026. The analyst seem to have become more bearish following the latest results. While there were no changes to revenue forecasts, there was a substantial drop in EPS estimates.

Despite cutting their earnings forecasts,the analyst has lifted their price target 20% to US$6.00, suggesting that these impacts are not expected to weigh on the stock's value in the long term.

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. We would highlight that revenue is expected to reverse, with a forecast 0.2% annualised decline to the end of 2026. That is a notable change from historical growth of 0.8% over the last five years. Compare this with our data, which suggests that other companies in the same industry are, in aggregate, expected to see their revenue grow 2.6% per year. It's pretty clear that Citizens' revenues are expected to perform substantially worse than 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. On the plus side, there were no major changes to revenue estimates; although forecasts imply they will perform worse than the wider industry. There was also a nice increase in the price target, with the analyst clearly feeling that the intrinsic value of the business is improving.

Following on from that line of thought, we think that the long-term prospects of the business are much more relevant than next year's earnings. We have analyst estimates for Citizens going out as far as 2027, and you can see them free on our platform here.

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.