Bankwell Financial Group, Inc. (NASDAQ:BWFG) came out with its quarterly results last week, and we wanted to see how the business is performing and what industry forecasts think of the company following this report. It looks like a credible result overall - although revenues of US$22m were what the analyst expected, Bankwell Financial Group surprised by delivering a statutory profit of US$0.24 per share, instead of the previously forecast loss. Earnings are an important time for investors, as they can track a company's performance, look at what the analyst is forecasting for next year, and see if there's been a change in sentiment towards the company. So we collected the latest post-earnings statutory consensus estimate to see what could be in store for next year.

Check out our latest analysis for Bankwell Financial Group

After the latest results, the lone analyst covering Bankwell Financial Group are now predicting revenues of US$95.9m in 2025. If met, this would reflect a sizeable 33% improvement in revenue compared to the last 12 months. Per-share earnings are expected to jump 89% to US$3.56. In the lead-up to this report, the analyst had been modelling revenues of US$97.2m and earnings per share (EPS) of US$3.52 in 2025. So it's pretty clear that, although the analyst has updated their estimates, there's been no major change in expectations for the business following the latest results.

With the analyst reconfirming their revenue and earnings forecasts, it's surprising to see that the price target rose 5.9% to US$36.00. It looks as though they previously had some doubts over whether the business would live up to their expectations.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Bankwell Financial Group's past performance and to peers in the same industry. It's clear from the latest estimates that Bankwell Financial Group's rate of growth is expected to accelerate meaningfully, with the forecast 26% annualised revenue growth to the end of 2025 noticeably faster than its historical growth of 13% p.a. over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 6.5% annually. Factoring in the forecast acceleration in revenue, it's pretty clear that Bankwell Financial Group is expected to grow much faster than its industry.

The Bottom Line

The most important thing to take away is that there's been no major change in sentiment, with the analyst reconfirming that the business is performing in line with their previous earnings per share estimates. Fortunately, they also reconfirmed their revenue numbers, suggesting that it's tracking in line with expectations. Additionally, our data suggests that revenue is expected to grow faster than the wider industry. We note an upgrade to the price target, suggesting that the analyst believes the intrinsic value of the business is likely to improve over time.

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

Don't forget that there may still be risks. For instance, we've identified 2 warning signs for Bankwell Financial Group that you should be aware of.

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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.