A week ago, Seanergy Maritime Holdings Corp. (NASDAQ:SHIP) came out with a strong set of second-quarter numbers that could potentially lead to a re-rate of the stock. It was overall a positive result, with revenues beating expectations by 5.1% to hit US$43m. Seanergy Maritime Holdings reported statutory earnings per share (EPS) US$0.68, which was a notable 15% above what the analysts had forecast. 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. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.
Taking into account the latest results, the current consensus from Seanergy Maritime Holdings' four analysts is for revenues of US$161.3m in 2024. This would reflect a meaningful 11% increase on its revenue over the past 12 months. Statutory earnings per share are predicted to bounce 38% to US$2.01. Before this earnings report, the analysts had been forecasting revenues of US$160.3m and earnings per share (EPS) of US$1.73 in 2024. Although the revenue estimates have not really changed, we can see there's been a nice gain to earnings per share expectations, suggesting that the analysts have become more bullish after the latest result.
There's been no major changes to the consensus price target of US$13.38, suggesting that the improved earnings per share outlook is not enough to have a long-term positive impact on the stock's valuation. The consensus price target is just an average of individual analyst targets, so - it could be handy to see how wide the range of underlying estimates is. There are some variant perceptions on Seanergy Maritime Holdings, with the most bullish analyst valuing it at US$15.00 and the most bearish at US$9.50 per share. 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.
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 Seanergy Maritime Holdings' growth to accelerate, with the forecast 23% annualised growth to the end of 2024 ranking favourably alongside historical growth of 11% per annum over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 0.09% annually. It seems obvious that, while the growth outlook is brighter than the recent past, the analysts also expect Seanergy Maritime Holdings to grow faster than the wider industry.
The Bottom Line
The biggest takeaway for us is the consensus earnings per share upgrade, which suggests a clear improvement in sentiment around Seanergy Maritime Holdings' earnings potential next year. Fortunately, they also reconfirmed their revenue numbers, suggesting that it's tracking in line with expectations. Additionally, our data suggests that revenue is expected to grow faster than the wider industry. The consensus price target held steady at US$13.38, with the latest estimates not enough to have an impact on their price targets.
With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have forecasts for Seanergy Maritime Holdings going out to 2025, and you can see them free on our platform here.
However, before you get too enthused, we've discovered 4 warning signs for Seanergy Maritime Holdings (2 shouldn't be ignored!) that you should be aware of.
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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.