A week ago, Carl Zeiss Meditec AG (ETR:AFX) came out with a strong set of interim numbers that could potentially lead to a re-rate of the stock. The company beat forecasts, with revenue of €1.1b, some 8.2% above estimates, and statutory earnings per share (EPS) coming in at €0.52, 37% ahead of expectations. Following the result, the analysts have updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.

Our free stock report includes 2 warning signs investors should be aware of before investing in Carl Zeiss Meditec. Read for free now.XTRA:AFX Earnings and Revenue Growth May 16th 2025

Following last week's earnings report, Carl Zeiss Meditec's 16 analysts are forecasting 2025 revenues to be €2.20b, approximately in line with the last 12 months. Statutory per share are forecast to be €1.80, approximately in line with the last 12 months. Before this earnings report, the analysts had been forecasting revenues of €2.19b and earnings per share (EPS) of €1.87 in 2025. So it looks like there's been a small decline in overall sentiment after the recent results - there's been no major change to revenue estimates, but the analysts did make a minor downgrade to their earnings per share forecasts.

Check out our latest analysis for Carl Zeiss Meditec

The consensus price target held steady at €61.97, with the analysts seemingly voting that their lower forecast earnings are not expected to lead to a lower stock price in the foreseeable future. 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. Currently, the most bullish analyst values Carl Zeiss Meditec at €86.50 per share, while the most bearish prices it at €41.00. Note the wide gap in analyst price targets? This implies to us that there is a fairly broad range of possible scenarios for the underlying business.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Carl Zeiss Meditec's past performance and to peers in the same industry. We would highlight that Carl Zeiss Meditec's revenue growth is expected to slow, with the forecast 3.2% annualised growth rate until the end of 2025 being well below the historical 9.8% p.a. growth over the last five years. By way of comparison, the other companies in this industry with analyst coverage are forecast to grow their revenue at 5.8% per year. Factoring in the forecast slowdown in growth, it seems obvious that Carl Zeiss Meditec is also expected to grow slower than other industry participants.

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The Bottom Line

The biggest concern is that the analysts reduced their earnings per share estimates, suggesting business headwinds could lay ahead for Carl Zeiss Meditec. On the plus side, there were no major changes to revenue estimates; although forecasts imply they will perform worse than the wider industry. The consensus price target held steady at €61.97, with the latest estimates not enough to have an impact on their price targets.

Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. At Simply Wall St, we have a full range of analyst estimates for Carl Zeiss Meditec going out to 2027, and you can see them free on our platform here..

You should always think about risks though. Case in point, we've spotted  2 warning signs for Carl Zeiss Meditec 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.

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