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TCI Express Limited (NSE:TCIEXP) Second-Quarter Results Just Came Out: Here's What Analysts Are Forecasting For This Year
As you might know, TCI Express Limited (NSE:TCIEXP) recently reported its quarterly numbers. Results were roughly in line with estimates, with revenues of ₹3.4b and statutory earnings per share of ₹21.16. 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. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year.
Taking into account the latest results, the most recent consensus for TCI Express from five analysts is for revenues of ₹13.4b in 2027. If met, it would imply a satisfactory 3.2% increase on its revenue over the past 12 months. Per-share earnings are expected to step up 17% to ₹24.90. Before this earnings report, the analysts had been forecasting revenues of ₹13.5b and earnings per share (EPS) of ₹24.94 in 2027. The consensus analysts don't seem to have seen anything in these results that would have changed their view on the business, given there's been no major change to their estimates.
Check out our latest analysis for TCI Express
There were no changes to revenue or earnings estimates or the price target of ₹616, suggesting that the company has met expectations in its recent result. The consensus price target is just an average of individual analyst targets, so - it could be handy to see how wide the range of underlying estimates is. Currently, the most bullish analyst values TCI Express at ₹770 per share, while the most bearish prices it at ₹500. 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 TCI Express shareholders.
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. The analysts are definitely expecting TCI Express' growth to accelerate, with the forecast 6.5% annualised growth to the end of 2027 ranking favourably alongside historical growth of 2.5% per annum 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 15% 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 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 TCI Express' revenue is expected to perform worse than the wider industry. The consensus price target held steady at ₹616, with the latest estimates not enough to have an impact on their price targets.
Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. We have estimates - from multiple TCI Express analysts - going out to 2029, and you can see them free on our platform here.
However, before you get too enthused, we've discovered 2 warning signs for TCI Express (1 is a bit unpleasant!) that you should be aware of.
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