Hayward Holdings, Inc. Beat Analyst Estimates: See What The Consensus Is Forecasting For This Year

It's been a good week for Hayward Holdings, Inc. (NYSE:HAYW) shareholders, because the company has just released its latest first-quarter results, and the shares gained 2.6% to US$14.13. Revenues were US$213m, approximately in line with whatthe analysts expected, although statutory earnings per share (EPS) crushed expectations, coming in at US$0.05, an impressive 41% ahead of estimates. 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. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analysts have changed their mind on Hayward Holdings after the latest results.

Check out our latest analysis for Hayward Holdings

Taking into account the latest results, the consensus forecast from Hayward Holdings' ten analysts is for revenues of US$1.04b in 2024. This reflects a modest 4.3% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to soar 22% to US$0.47. Yet prior to the latest earnings, the analysts had been anticipated revenues of US$1.04b and earnings per share (EPS) of US$0.46 in 2024. The consensus analysts don't seem to have seen anything in these results that would have changed their view on the business, given there's been no major change to their estimates.

There were no changes to revenue or earnings estimates or the price target of US$15.48, suggesting that the company has met expectations in its recent result. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. There are some variant perceptions on Hayward Holdings, with the most bullish analyst valuing it at US$17.50 and the most bearish at US$14.00 per share. This is a very narrow spread of estimates, implying either that Hayward Holdings is an easy company to value, or - more likely - the analysts are relying heavily on some key assumptions.

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 Hayward Holdings is forecast to grow faster in the future than it has in the past, with revenues expected to display 5.7% annualised growth until the end of 2024. If achieved, this would be a much better result than the 8.6% annual decline over the past three years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to see their revenue grow 5.3% per year. So while Hayward Holdings' revenues are expected to improve, it seems that it is expected to grow at about the same rate as the overall 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 real changes to revenue forecasts, with the business still expected to grow in line with the overall industry. The consensus price target held steady at US$15.48, with the latest estimates not enough to have an impact on their price targets.

With that in mind, we wouldn't be too quick to come to a conclusion on Hayward Holdings. Long-term earnings power is much more important than next year's profits. We have estimates - from multiple Hayward Holdings analysts - going out to 2026, and you can see them free on our platform here.

Don't forget that there may still be risks. For instance, we've identified 1 warning sign for Hayward Holdings that you should be aware of.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

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.