A week ago, Bird Construction Inc. (TSE:BDT) came out with a strong set of third-quarter numbers that could potentially lead to a re-rate of the stock. It was a positive result, with revenues and statutory earnings per share (EPS) both performing well. Revenues were 12% higher than the analysts had forecast, at CA$1.3b, while EPS of CA$0.92 beat analyst models by 3.8%. 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.
Following the latest results, Bird Construction’s seven analysts are now forecasting revenues of CA$4.96b in 2027. This would be a sizeable 24% improvement in revenue compared to the last 12 months. Per-share earnings are expected to shoot up 177% to CA$3.95. Yet prior to the latest earnings, the analysts had been anticipated revenues of CA$4.88b and earnings per share (EPS) of CA$3.83 in 2027. The analysts seems to have become more bullish on the business, judging by their new earnings per share estimates.
Check out our latest analysis for Bird Construction
The analysts have been lifting their price targets on the back of the earnings upgrade, with the consensus price target rising 5.4% to CA$94.75. 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 Bird Construction, with the most bullish analyst valuing it at CA$100.00 and the most bearish at CA$83.00 per share. With such a narrow range of valuations, the analysts apparently share similar views on what they think the business is worth.
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. The analysts are definitely expecting Bird Construction’s growth to accelerate, with the forecast 19% annualised growth to the end of 2027 ranking favourably alongside historical growth of 12% per annum over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 3.7% per year. Factoring in the forecast acceleration in revenue, it’s pretty clear that Bird Construction is expected to grow much faster than its industry.
The Bottom Line
The biggest takeaway for us is the consensus earnings per share upgrade, which suggests a clear improvement in sentiment around Bird Construction’s earnings potential next year. Happily, there were no major changes to revenue forecasts, with the business still expected to grow faster 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.
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 Bird Construction going out to 2028, and you can see them free on our platform here..
Another thing to consider is whether management and directors have been buying or selling stock recently. We provide an overview of all open market stock trades for the last twelve months on our platform, here.
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