Westwing Group SE (ETR:WEW) Released Earnings Last Week And Analysts Lifted Their Price Target To €14.67

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The investors in Westwing Group SE's (ETR:WEW) will be rubbing their hands together with glee today, after the share price leapt 27% to €11.55 in the week following its half-yearly results. The analysts typically update their forecasts at each earnings report, and we can judge from their estimates whether their view of the company has changed or if there are any new concerns to be aware of. So we gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.
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Taking into account the latest results, the consensus forecast from Westwing Group's three analysts is for revenues of €446.4m in 2025. This reflects a credible 2.2% improvement in revenue compared to the last 12 months. The company is forecast to report a statutory loss of €0.16 in 2025, a sharp decline from a profit over the last year. Yet prior to the latest earnings, the analysts had been anticipated revenues of €450.1m and earnings per share (EPS) of €0.13 in 2025. So despite reconfirming their revenue estimates, the analysts are now forecasting a loss instead of a profit, which looks like a definite drop in sentiment following the latest results.
View our latest analysis for Westwing Group
Despite expectations of heavier losses next year,the analysts have lifted their price target 10% to €14.67, perhaps implying these losses are not expected to be recurring over the long term. There's another way to think about price targets though, and that's to look at the range of price targets put forward by analysts, because a wide range of estimates could suggest a diverse view on possible outcomes for the business. There are some variant perceptions on Westwing Group, with the most bullish analyst valuing it at €18.00 and the most bearish at €11.00 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.
Taking a look at the bigger picture now, one of the ways we can understand these forecasts is to see how they compare to both past performance and industry growth estimates. One thing stands out from these estimates, which is that Westwing Group is forecast to grow faster in the future than it has in the past, with revenues expected to display 4.5% annualised growth until the end of 2025. If achieved, this would be a much better result than the 0.3% annual decline over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to see their revenue grow 7.8% per year. So although Westwing Group's revenue growth is expected to improve, it is still expected to grow slower than the industry.
The Bottom Line
The most important thing to take away is that the analysts are expecting Westwing Group to become unprofitable next year. Fortunately, the analysts also reconfirmed their revenue estimates, suggesting that it's tracking in line with expectations. Although our data does suggest that Westwing Group's revenue is expected to perform worse than the wider industry. We note an upgrade to the price target, suggesting that the analysts believes the intrinsic value of the business is likely to improve over time.
With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have forecasts for Westwing Group going out to 2027, and you can see them free on our platform here.
And what about risks? Every company has them, and we've spotted 1 warning sign for Westwing Group you should know about.
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