₹616 - That's What Analysts Think TCI Express Limited (NSE:TCIEXP) Is Worth After These Results

Investors in TCI Express Limited (NSE:TCIEXP) had a good week, as its shares rose 2.4% to close at ₹555 following the release of its first-quarter results. Results overall were respectable, with statutory earnings of ₹21.16 per share roughly in line with what the analysts had forecast. Revenues of ₹3.1b came in 2.7% ahead of analyst predictions. Following the result, the analysts have updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. So we gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.

Trump has pledged to "unleash" American oil and gas and these 15 US stocks have developments that are poised to benefit.

After the latest results, the six analysts covering TCI Express are now predicting revenues of ₹13.3b in 2027. If met, this would reflect a satisfactory 5.4% improvement in revenue compared to the last 12 months. Per-share earnings are expected to ascend 15% to ₹24.78. Yet prior to the latest earnings, the analysts had been anticipated revenues of ₹13.4b and earnings per share (EPS) of ₹23.14 in 2027. The analysts seems to have become more bullish on the business, judging by their new earnings per share estimates.

View our latest analysis for TCI Express

The analysts have been lifting their price targets on the back of the earnings upgrade, with the consensus price target rising 8.2% to ₹616. 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 TCI Express at ₹770 per share, while the most bearish prices it at ₹474. As you can see, analysts are not all in agreement on the stock's future, but the range of estimates is still reasonably narrow, which could suggest that the outcome is not totally unpredictable.

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. It's clear from the latest estimates that TCI Express' rate of growth is expected to accelerate meaningfully, with the forecast 7.3% annualised revenue growth to the end of 2027 noticeably faster than its historical growth of 3.1% p.a. over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 13% per year. So it's clear that despite the acceleration in growth, TCI Express is expected to grow meaningfully slower than the industry average.

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 TCI Express following these results. Fortunately, the analysts also reconfirmed their revenue estimates, suggesting that it's tracking in line with expectations. Although our data does suggest that TCI Express' revenue is expected to perform worse than the wider industry. We note an upgrade to the price target, suggesting that the analysts 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 TCI Express. Long-term earnings power is much more important than next year's profits. At Simply Wall St, we have a full range of analyst estimates for TCI Express going out to 2029, and you can see them free on our platform here..

That said, it's still necessary to consider the ever-present spectre of investment risk. We've identified 2 warning signs with TCI Express , and understanding these should be part of your investment process.

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.