Consensus estimates are an important tool for understanding collective investor sentiment and market expectations. These forecasts can help guide investors’ decisions by signalling what the “the street” is thinking about a specific stock or sector. At the same time, sophisticated investors can use such datasets to predict earnings surprises – when their own models differ from the consensus.  Amid strong demand for accurate consensus estimates, new entrants have emerged to compete with incumbents. In this report, we compare these offerings.

CONTEXT

Consensus estimates are the collective forecasts made by equity analysts regarding a public company’s future earnings. This primarily focuses on earnings per share and revenue. These estimates provide a synthesised view of diverse analyst opinions, serving as a benchmark for investors.