Woodward, Inc. (NASDAQ:WWD) investors will be delighted, with the company turning in some strong numbers with its latest results. Results were good overall, with revenues beating analyst predictions by 8.2% to hit US$1.1b. Statutory earnings per share (EPS) came in at US$2.19, some 4.6% above whatthe analysts had expected. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analysts have changed their mind on Woodward after the latest results.

Taking into account the latest results, the most recent consensus for Woodward from ten analysts is for revenues of US$4.32b in 2026. If met, it would imply an okay 8.0% increase on its revenue over the past 12 months. Statutory earnings per share are predicted to accumulate 6.9% to US$9.21. Yet prior to the latest earnings, the analysts had been anticipated revenues of US$4.15b and earnings per share (EPS) of US$8.74 in 2026. So there seems to have been a moderate uplift in sentiment following the latest results, given the upgrades to both revenue and earnings per share forecasts for next year.

Althoughthe analysts have upgraded their earnings estimates, there was no change to the consensus price target of US$434, suggesting that the forecast performance does not have a long term impact on the company's valuation. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. The most optimistic Woodward analyst has a price target of US$470 per share, while the most pessimistic values it at US$390. Even so, with a relatively close grouping of estimates, it looks like the analysts are quite confident in their valuations, suggesting Woodward is an easy business to forecast or the the analysts are all using similar assumptions.

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. It's clear from the latest estimates that Woodward's rate of growth is expected to accelerate meaningfully, with the forecast 17% annualised revenue growth to the end of 2026 noticeably faster than its historical growth of 13% p.a. over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 8.8% annually. Factoring in the forecast acceleration in revenue, it's pretty clear that Woodward is expected to grow much faster than its industry.

The Bottom Line

The most important thing here is that the analysts upgraded their earnings per share estimates, suggesting that there has been a clear increase in optimism towards Woodward following these results. Pleasantly, they also upgraded their revenue estimates, and their forecasts suggest the business is expected to grow faster than the wider industry. The consensus price target held steady at US$434, with the latest estimates not enough to have an impact on their price targets.

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 Woodward going out to 2028, and you can see them free on our platform here..

It might also be worth considering whether Woodward's debt load is appropriate, using our debt analysis tools on the Simply Wall St 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.