Last week, you might have seen that Sotera Health Company (NASDAQ:SHC) released its annual result to the market. The early response was not positive, with shares down 9.6% to US$15.01 in the past week. It was not a great result overall. While revenues of US$1.0b were in line with analyst predictions, earnings were less than expected, missing statutory estimates by 17% to hit US$0.18 per share. 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 Sotera Health

Taking into account the latest results, the most recent consensus for Sotera Health from six analysts is for revenues of US$1.10b in 2024. If met, it would imply a credible 4.6% increase on its revenue over the past 12 months. Per-share earnings are expected to bounce 89% to US$0.34. In the lead-up to this report, the analysts had been modelling revenues of US$1.10b and earnings per share (EPS) of US$0.52 in 2024. The analysts seem to have become more bearish following the latest results. While there were no changes to revenue forecasts, there was a large cut to EPS estimates.

Despite cutting their earnings forecasts,the analysts have lifted their price target 5.9% to US$17.83, suggesting that these impacts are not expected to weigh on the stock's value in the long term. That's not the only conclusion we can draw from this data however, as some investors also like to consider the spread in estimates when evaluating analyst price targets. Currently, the most bullish analyst values Sotera Health at US$20.00 per share, while the most bearish prices it at US$15.00. The narrow spread of estimates could suggest that the business' future is relatively easy to value, or thatthe analysts have a strong view on its prospects.

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 Sotera Health's revenue growth is expected to slow, with the forecast 4.6% annualised growth rate until the end of 2024 being well below the historical 7.4% p.a. growth over the last five years. By way of comparison, the other companies in this industry with analyst coverage are forecast to grow their revenue at 6.1% per year. Factoring in the forecast slowdown in growth, it seems obvious that Sotera Health is also expected to grow slower than other industry participants.