Central Valley Community Bancorp (NASDAQ:CVCY) shares fell 5.8% to US$19.57 in the week since its latest yearly results. Results were roughly in line with estimates, with revenues of US$76m and statutory earnings per share of US$1.59. 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. So we gathered the latest post-earnings forecasts to see what analysts' statutory forecasts suggest is in store for next year.

Check out our latest analysis for Central Valley Community Bancorp

Taking into account the latest results, the current consensus, from the five analysts covering Central Valley Community Bancorp, is for revenues of US$71.7m in 2020, which would reflect a discernible 5.8% reduction in Central Valley Community Bancorp's sales over the past 12 months. Statutory earnings per share are expected to drop 11% to US$1.42 in the same period. In the lead-up to this report, analysts had been modelling revenues of US$73.0m and earnings per share (EPS) of US$1.42 in 2020. So it's pretty clear that, although analysts have updated their estimates, there's been no major change in expectations for the business following the latest results.

There were no changes to revenue or earnings estimates or the price target of US$21.88, suggesting that the company has met expectations in its recent result. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. Currently, the most bullish analyst values Central Valley Community Bancorp at US$24.00 per share, while the most bearish prices it at US$20.00. Still, with such a tight range of estimates, it suggests analysts have a pretty good idea of what they think the company is worth.

Zooming out to look at the bigger picture now, one of the ways we can make sense of these forecasts is to see how they measure up both against past performance, and against industry growth estimates. We would highlight that sales are expected to reverse, with the forecast 5.8% revenue decline a notable change from historical growth of 13% over the last five years. By contrast, our data suggests that other companies (with analyst coverage) in the same market are forecast to see their revenue grow 4.9% annually for the foreseeable future. So although its revenues are forecast to shrink, this cloud does not come with a silver lining - analysts also expect Central Valley Community Bancorp to grow slower than the wider market.

The Bottom Line

The most important thing to take away is that there's been no major change in sentiment, with analysts reconfirming that earnings per share are expected to continue performing in line with their prior expectations. On the plus side, there were no major changes to revenue estimates; although analyst forecasts imply revenues will perform worse than the wider market. The consensus price target held steady at US$21.88, with the latest estimates not enough to have an impact on analysts' estimated valuations.

With that in mind, we wouldn't be too quick to come to a conclusion on Central Valley Community Bancorp. Long-term earnings power is much more important than next year's profits. We have estimates - from multiple Central Valley Community Bancorp analysts - going out to 2021, and you can see them free on our platform here.

You can also see our analysis of Central Valley Community Bancorp's Board and CEO remuneration and experience, and whether company insiders have been buying stock.

If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned.

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