Miller Industries, Inc. (NYSE:MLR) came out with its quarterly results last week, and we wanted to see how the business is performing and what industry forecasters think of the company following this report. It looks to have been a decent result overall - while revenue fell marginally short of analyst estimates at US$214m, statutory earnings beat expectations by a notable 17%, coming in at US$0.73 per share. 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.
Taking into account the latest results, the current consensus, from the twin analysts covering Miller Industries, is for revenues of US$761.2m in 2025. This implies a sizeable 22% reduction in Miller Industries' revenue over the past 12 months. Statutory earnings per share are expected to drop 18% to US$3.03 in the same period. In the lead-up to this report, the analysts had been modelling revenues of US$966.2m and earnings per share (EPS) of US$2.97 in 2025. It looks like there's been a meaningful change to the consensus view following the recent earnings report, with the analysts making a pretty serious reduction to to revenue forecasts and a slight bump in to next year's earnings estimates.
View our latest analysis for Miller Industries
The consensus price target fell 9.0% to US$61.00, with the analysts signalling that the weaker revenue outlook was a more powerful indicator than the upgraded EPS forecasts.
Of course, another way to look at these forecasts is to place them into context against the industry itself. These estimates imply that revenue is expected to slow, with a forecast annualised decline of 39% by the end of 2025. This indicates a significant reduction from annual growth of 15% over the last five years. By contrast, our data suggests that other companies (with analyst coverage) in the same industry are forecast to see their revenue grow 4.7% annually for the foreseeable future. It's pretty clear that Miller Industries' revenues are expected to perform substantially worse than the wider industry.
The Bottom Line
The most important thing here is that the analysts upgraded their earnings per share estimates, suggesting that there has been a clear increase in optimism towards Miller Industries following these results. On the negative side, they also downgraded their revenue estimates, and forecasts imply they will perform worse than the wider industry. Even so, long term profitability is more important for the value creation process. The consensus price target fell measurably, with the analysts seemingly not reassured by the latest results, leading to a lower estimate of Miller Industries' future valuation.
Following on from that line of thought, we think that the long-term prospects of the business are much more relevant than next year's earnings. We have analyst estimates for Miller Industries going out as far as 2027, and you can see them free on our platform here.
You can also view our analysis of Miller Industries' balance sheet, and whether we think Miller Industries is carrying too much debt, for free on our platform here.
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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.