It's been a pretty great week for Enhabit, Inc. (NYSE:EHAB) shareholders, with its shares surging 17% to US$10.34 in the week since its latest annual results. The statutory results were mixed overall, with revenues of US$1.0b in line with analyst forecasts, but losses of US$1.61 per share, some 10.0% larger than the analysts were predicting. 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. We've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.

View our latest analysis for Enhabit

Taking into account the latest results, the current consensus from Enhabit's nine analysts is for revenues of US$1.08b in 2024. This would reflect an okay 3.7% increase on its revenue over the past 12 months. Enhabit is also expected to turn profitable, with statutory earnings of US$0.21 per share. Before this earnings report, the analysts had been forecasting revenues of US$1.07b and earnings per share (EPS) of US$0.19 in 2024. Although the revenue estimates have not really changed, we can see there's been a substantial gain in earnings per share expectations, suggesting that the analysts have become more bullish after the latest result.

The consensus price target was unchanged at US$10.57, implying that the improved earnings outlook is not expected to have a long term impact on value creation for shareholders. 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 Enhabit, with the most bullish analyst valuing it at US$14.00 and the most bearish at US$8.00 per share. There are definitely some different views on the stock, but the range of estimates is not wide enough as to imply that the situation is unforecastable, in our view.

One way to get more context on these forecasts is to look at how they compare to both past performance, and how other companies in the same industry are performing. For example, we noticed that Enhabit's rate of growth is expected to accelerate meaningfully, with revenues forecast to exhibit 3.7% growth to the end of 2024 on an annualised basis. That is well above its historical decline of 1.7% a year 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 6.7% per year. Although Enhabit's revenues are expected to improve, it seems that the analysts are still bearish on the business, forecasting it to grow slower than the broader industry.