Shareholders in Amphenol Corporation (NYSE:APH) may be thrilled to learn that the analysts have just delivered a major upgrade to their near-term forecasts. The consensus statutory numbers for both revenue and earnings per share (EPS) increased, with their view clearly much more bullish on the company’s business prospects. The market seems to be pricing in some improvement in the business too, with the stock up 5.4% over the past week, closing at US$149. Could this big upgrade push the stock even higher?
Following the upgrade, the current consensus from Amphenol’s six analysts is for revenues of US$31b in 2026 which – if met – would reflect a sizeable 46% increase on its sales over the past 12 months. Per-share earnings are expected to bounce 44% to US$4.50. Before this latest update, the analysts had been forecasting revenues of US$26b and earnings per share (EPS) of US$4.01 in 2026. There has definitely been an improvement in perception recently, with the analysts substantially increasing both their earnings and revenue estimates.
Although the analysts have upgraded their earnings estimates, there was no change to the consensus price target of US$152, suggesting that the forecast performance does not have a long term impact on the company’s valuation.
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. The analysts are definitely expecting Amphenol’s growth to accelerate, with the forecast 35% annualised growth to the end of 2026 ranking favourably alongside historical growth of 15% 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 11% per year. It seems obvious that, while the growth outlook is brighter than the recent past, the analysts also expect Amphenol to grow faster than the wider industry.
The Bottom Line
The biggest takeaway for us from these new estimates is that analysts upgraded their earnings per share estimates, with improved earnings power expected for next year. They also upgraded their revenue estimates for next year, and sales are expected to grow faster than the wider market. The lack of change in the price target is puzzling, but with a serious upgrade to next year’s earnings expectations, it might be time to take another look at Amphenol.
Still, the long-term prospects of the business are much more relevant than next year’s earnings. At Simply Wall St, we have a full range of analyst estimates for Amphenol going out to 2028, and you can see them free on our platform here..
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