Nippon Sanso Holdings Corporation (TSE:4091) Half-Yearly Results: Here's What Analysts Are Forecasting For This Year

Last week saw the newest interim earnings release from Nippon Sanso Holdings Corporation (TSE:4091), an important milestone in the company's journey to build a stronger business. The result was positive overall - although revenues of JP¥737b were in line with what the analysts predicted, Nippon Sanso Holdings surprised by delivering a statutory profit of JP¥82.88 per share, modestly greater than expected. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year.

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Following last week's earnings report, Nippon Sanso Holdings' eight analysts are forecasting 2027 revenues to be JP¥1.47t, approximately in line with the last 12 months. Statutory per-share earnings are expected to be JP¥331, roughly flat on the last 12 months. In the lead-up to this report, the analysts had been modelling revenues of JP¥1.47t and earnings per share (EPS) of JP¥331 in 2027. So it's pretty clear that, although the analysts have updated their estimates, there's been no major change in expectations for the business following the latest results.

View our latest analysis for Nippon Sanso Holdings

There were no changes to revenue or earnings estimates or the price target of JP¥6,213, suggesting that the company has met expectations in its recent result. Fixating on a single price target can be unwise though, since the consensus target is effectively the average of analyst price targets. As a result, some investors like to look at the range of estimates to see if there are any diverging opinions on the company's valuation. Currently, the most bullish analyst values Nippon Sanso Holdings at JP¥7,600 per share, while the most bearish prices it at JP¥4,800. Analysts definitely have varying views on the business, but the spread of estimates is not wide enough in our view to suggest that extreme outcomes could await Nippon Sanso Holdings shareholders.

Another way we can view these estimates is in the context of the bigger picture, such as how the forecasts stack up against past performance, and whether forecasts are more or less bullish relative to other companies in the industry. We would highlight that Nippon Sanso Holdings' revenue growth is expected to slow, with the forecast 2.9% annualised growth rate until the end of 2027 being well below the historical 8.0% p.a. growth over the last five years. By way of comparison, the other companies in this industry with analyst coverage are forecast to grow their revenue at 5.4% per year. Factoring in the forecast slowdown in growth, it seems obvious that Nippon Sanso Holdings is also expected to grow slower than other industry participants.

The Bottom Line

The most important thing to take away is that there's been no major change in sentiment, with the analysts reconfirming that the business is performing in line with their previous earnings per share estimates. Fortunately, the analysts also reconfirmed their revenue estimates, suggesting that it's tracking in line with expectations. Although our data does suggest that Nippon Sanso Holdings' revenue is expected to perform worse than the wider industry. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.

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 forecasts for Nippon Sanso Holdings going out to 2029, and you can see them free on our platform here.

Plus, you should also learn about the 1 warning sign we've spotted with Nippon Sanso Holdings .

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