Dr. Sulaiman Al Habib Medical Services Group Company (TADAWUL:4013) Just Released Its Full-Year Results And Analysts Are Updating Their Estimates
SULAIMAN ALHABIB 4013.SA | 252.40 | +0.56% |
Dr. Sulaiman Al Habib Medical Services Group Company (TADAWUL:4013) shareholders are probably feeling a little disappointed, since its shares fell 2.0% to ر.س252 in the week after its latest annual results. It was a credible result overall, with revenues of ر.س14b and statutory earnings per share of ر.س6.86 both in line with analyst estimates, showing that Dr. Sulaiman Al Habib Medical Services Group is executing in line with 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.
After the latest results, the eleven analysts covering Dr. Sulaiman Al Habib Medical Services Group are now predicting revenues of ر.س15.5b in 2026. If met, this would reflect a meaningful 13% improvement in revenue compared to the last 12 months. Per-share earnings are expected to ascend 18% to ر.س8.12. In the lead-up to this report, the analysts had been modelling revenues of ر.س15.8b and earnings per share (EPS) of ر.س8.48 in 2026. The analysts are less bullish than they were before these results, given the reduced revenue forecasts and the minor downgrade to earnings per share expectations.
The analysts made no major changes to their price target of ر.س292, suggesting the downgrades are not expected to have a long-term impact on Dr. Sulaiman Al Habib Medical Services Group's valuation. Fixating on a single price target can be unwise though, since the consensus target is effectively the average of analyst price targets. As a result, some investors like to look at the range of estimates to see if there are any diverging opinions on the company's valuation. There are some variant perceptions on Dr. Sulaiman Al Habib Medical Services Group, with the most bullish analyst valuing it at ر.س321 and the most bearish at ر.س193 per share. This shows there is still a bit of diversity in estimates, but analysts don't appear to be totally split on the stock as though it might be a success or failure situation.
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. We can infer from the latest estimates that forecasts expect a continuation of Dr. Sulaiman Al Habib Medical Services Group'shistorical trends, as the 13% annualised revenue growth to the end of 2026 is roughly in line with the 16% annual growth over the past five years. Compare this with the broader industry, which analyst estimates (in aggregate) suggest will see revenues grow 12% annually. It's clear that while Dr. Sulaiman Al Habib Medical Services Group's revenue growth is expected to continue on its current trajectory, it's only expected to grow in line with the industry itself.
The Bottom Line
The most important thing to take away is that the analysts downgraded their earnings per share estimates, showing that there has been a clear decline in sentiment following these results. Sadly, they also downgraded their revenue forecasts, but the business is still expected to grow at roughly the same rate as the industry itself. 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.
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. At Simply Wall St, we have a full range of analyst estimates for Dr. Sulaiman Al Habib Medical Services Group going out to 2028, and you can see them free on our platform here..
Even so, be aware that Dr. Sulaiman Al Habib Medical Services Group is showing 1 warning sign in our investment analysis , you should know about...
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.
