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Electronics Mart India Limited Just Beat EPS By 9.5%: Here's What Analysts Think Will Happen Next
Shareholders might have noticed that Electronics Mart India Limited (NSE:EMIL) filed its quarterly result this time last week. The early response was not positive, with shares down 3.7% to ₹146 in the past week. Electronics Mart India reported ₹19b in revenue, roughly in line with analyst forecasts, although statutory earnings per share (EPS) of ₹1.04 beat expectations, being 9.5% higher than what the analysts expected. The 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. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analysts have changed their mind on Electronics Mart India after the latest results.
Taking into account the latest results, the current consensus from Electronics Mart India's eight analysts is for revenues of ₹85.6b in 2027. This would reflect a reasonable 4.8% increase on its revenue over the past 12 months. Per-share earnings are expected to accumulate 4.3% to ₹6.24. In the lead-up to this report, the analysts had been modelling revenues of ₹85.6b and earnings per share (EPS) of ₹5.72 in 2027. The analysts seems to have become more bullish on the business, judging by their new earnings per share estimates.
Check out our latest analysis for Electronics Mart India
There's been no major changes to the consensus price target of ₹213, suggesting that the improved earnings per share outlook is not enough to have a long-term positive impact on the stock's valuation. There's another way to think about price targets though, and that's to look at the range of price targets put forward by analysts, because a wide range of estimates could suggest a diverse view on possible outcomes for the business. Currently, the most bullish analyst values Electronics Mart India at ₹236 per share, while the most bearish prices it at ₹139. 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.
Taking a look at the bigger picture now, one of the ways we can understand these forecasts is to see how they compare to both past performance and industry growth estimates. The period to the end of 2027 brings more of the same, according to the analysts, with revenue forecast to display 9.8% growth on an annualised basis. That is in line with its 9.3% annual growth over the past three years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to see their revenues grow 18% per year. So it's pretty clear that Electronics Mart India is expected to grow slower than similar companies in the same industry.
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 Electronics Mart India following these results. On the plus side, there were no major changes to revenue estimates; although forecasts imply they will 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. At Simply Wall St, we have a full range of analyst estimates for Electronics Mart India going out to 2029, and you can see them free on our platform here..
You can also view our analysis of Electronics Mart India's balance sheet, and whether we think Electronics Mart India is carrying too much debt, for free on our platform here.
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