Investors in Red River Bancshares, Inc. (NASDAQ:RRBI) had a good week, as its shares rose 3.0% to close at US$55.80 following the release of its yearly results. Red River Bancshares reported US$109m in revenue, roughly in line with analyst forecasts, although statutory earnings per share (EPS) of US$4.95 beat expectations, being 3.4% higher than what the analysts expected. The analysts typically update their forecasts at each earnings report, and we can judge from their estimates whether their view of the company has changed or if there are any new concerns to be aware of. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.

Check out our latest analysis for Red River Bancshares

Taking into account the latest results, the most recent consensus for Red River Bancshares from twin analysts is for revenues of US$118.6m in 2025. If met, it would imply a decent 9.2% increase on its revenue over the past 12 months. Per-share earnings are expected to increase 6.2% to US$5.37. Before this earnings report, the analysts had been forecasting revenues of US$118.3m and earnings per share (EPS) of US$5.10 in 2025. The analysts seems to have become more bullish on the business, judging by their new earnings per share estimates.

There's been no major changes to the consensus price target of US$69.00, suggesting that the improved earnings per share outlook is not enough to have a long-term positive impact on the stock's valuation.

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. It's clear from the latest estimates that Red River Bancshares' rate of growth is expected to accelerate meaningfully, with the forecast 9.2% annualised revenue growth to the end of 2025 noticeably faster than its historical growth of 6.8% p.a. over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 7.5% annually. Red River Bancshares is expected to grow at about the same rate as its industry, so it's not clear that we can draw any conclusions from its growth relative to competitors.

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 Red River Bancshares following these results. Happily, there were no real changes to revenue forecasts, with the business still expected to grow in line with the overall industry. The consensus price target held steady at US$69.00, with the latest estimates not enough to have an impact on their price targets.

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 Red River Bancshares going out as far as 2026, and you can see them free on our platform here.

Another thing to consider is whether management and directors have been buying or selling stock recently. We provide an overview of all open market stock trades for the last twelve months on our platform, here.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

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.