TAT Technologies Ltd. Just Beat Analyst Forecasts, And Analysts Have Been Updating Their Predictions

TAT Technologies Ltd. (NASDAQ:TATT) just released its latest quarterly results and things are looking bullish. It was overall a positive result, with revenues beating expectations by 5.1% to hit US$56m. TAT Technologies also reported a statutory profit of US$0.58, which was an impressive 47% above what the analysts had forecast. 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. We’ve gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.

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Taking into account the latest results, the current consensus from TAT Technologies’ six analysts is for revenues of US$231.8m in 2027. This would reflect a meaningful 18% increase on its revenue over the past 12 months. Statutory per share are forecast to be US$1.83, approximately in line with the last 12 months. Before this earnings report, the analysts had been forecasting revenues of US$228.2m and earnings per share (EPS) of US$1.82 in 2027. So it’s pretty clear that, although the analysts have updated their estimates, there’s been no major change in expectations for the business following the latest results.

View our latest analysis for TAT Technologies

The analysts reconfirmed their price target of US$61.29, showing that the business is executing well and in line with expectations. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. Currently, the most bullish analyst values TAT Technologies at US$66.00 per share, while the most bearish prices it at US$54.00. With such a narrow range of valuations, the analysts apparently share similar views on what they think the business is worth.

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. It’s pretty clear that there is an expectation that TAT Technologies’ revenue growth will slow down substantially, with revenues to the end of 2027 expected to display 14% growth on an annualised basis. This is compared to a historical growth rate of 21% over the past five years. Juxtapose this against the other companies in the industry with analyst coverage, which are forecast to grow their revenues (in aggregate) 9.2% per year. Even after the forecast slowdown in growth, it seems obvious that TAT Technologies is also expected to grow faster than the wider industry.

The Bottom Line

The most obvious conclusion is that there’s been no major change in the business’ prospects in recent times, with the analysts holding their earnings forecasts steady, in line with previous estimates. Happily, there were no major changes to revenue forecasts, with the business still expected to grow faster than the wider industry. 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.

Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. We have forecasts for TAT Technologies going out to 2028, and you can see them free on our platform here.

That said, it’s still necessary to consider the ever-present spectre of investment risk. We’ve identified 1 warning sign with TAT Technologies , and understanding this should be part of your investment process.

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