Littelfuse, Inc. (NASDAQ:LFUS) last week reported its latest quarterly results, which makes it a good time for investors to dive in and see if the business is performing in line with expectations. It looks like a credible result overall - although revenues of US$567m were in line with what the analysts predicted, Littelfuse surprised by delivering a statutory profit of US$2.32 per share, a notable 15% above expectations. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year.

Taking into account the latest results, the consensus forecast from Littelfuse's six analysts is for revenues of US$2.37b in 2025. This reflects a decent 8.1% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to surge 33% to US$10.46. In the lead-up to this report, the analysts had been modelling revenues of US$2.39b and earnings per share (EPS) of US$10.98 in 2025. The analysts seem to have become a little more negative on the business after the latest results, given the small dip in their earnings per share numbers for next year.

It might be a surprise to learn that the consensus price target was broadly unchanged at US$295, with the analysts clearly implying that the forecast decline in earnings is not expected to have much of an impact on valuation. 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 Littelfuse, with the most bullish analyst valuing it at US$310 and the most bearish at US$280 per share. This is a very narrow spread of estimates, implying either that Littelfuse is an easy company to value, or - more likely - the analysts are relying heavily on some key assumptions.

Looking at the bigger picture now, one of the ways we can make sense of these forecasts is to see how they measure up against both past performance and industry growth estimates. We would highlight that Littelfuse's revenue growth is expected to slow, with the forecast 6.4% annualised growth rate until the end of 2025 being well below the historical 12% p.a. growth over the last five years. Juxtapose this against the other companies in the industry with analyst coverage, which are forecast to grow their revenues (in aggregate) 7.4% annually. So it's pretty clear that, while Littelfuse's revenue growth is expected to slow, it's expected to grow roughly in line with the industry.

The Bottom Line

The biggest concern is that the analysts reduced their earnings per share estimates, suggesting business headwinds could lay ahead for Littelfuse. They also reconfirmed their revenue estimates, with the company predicted to grow at about the same rate as 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.

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

You still need to take note of risks, for example - Littelfuse has 1 warning sign we think you should be aware of.

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.