Need To Know: Analysts Are Much More Bullish On Kyoto Financial Group,Inc. (TSE:5844) Revenues

Kyoto Financial Group,Inc. (TSE:5844) shareholders will have a reason to smile today, with the analysts making substantial upgrades to this year's statutory forecasts. The consensus estimated revenue numbers rose, with their view now clearly much more bullish on the company's business prospects.

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Following the upgrade, the latest consensus from Kyoto Financial GroupInc's four analysts is for revenues of JP¥217b in 2026, which would reflect a sizeable 42% improvement in sales compared to the last 12 months. Statutory earnings per share are presumed to increase 6.9% to JP¥159. Prior to this update, the analysts had been forecasting revenues of JP¥181b and earnings per share (EPS) of JP¥146 in 2026. Sentiment certainly seems to have improved in recent times, with a sizeable gain to revenue and a small increase to earnings per share estimates.

Check out our latest analysis for Kyoto Financial GroupInc

Despite these upgrades, the analysts have not made any major changes to their price target of JP¥3,040, suggesting that the higher estimates are not likely to have a long term impact on what the stock is worth.

Of course, another way to look at these forecasts is to place them into context against the industry itself. It's clear from the latest estimates that Kyoto Financial GroupInc's rate of growth is expected to accelerate meaningfully, with the forecast 101% annualised revenue growth to the end of 2026 noticeably faster than its historical growth of 7.9% 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 4.3% per year. Factoring in the forecast acceleration in revenue, it's pretty clear that Kyoto Financial GroupInc is expected to grow much faster than its industry.

The Bottom Line

The most important thing to take away from this upgrade is that analysts upgraded their earnings per share estimates for this year, expecting improving business conditions. Fortunately, analysts also upgraded their revenue estimates, and our data indicates sales are expected to perform better than the wider market. Given that analysts appear to be expecting substantial improvement in the sales pipeline, now could be the right time to take another look at Kyoto Financial GroupInc.

Still, the long-term prospects of the business are much more relevant than next year's earnings. We have estimates - from multiple Kyoto Financial GroupInc analysts - going out to 2028, and you can see them free on our platform here.

Of course, seeing company management invest large sums of money in a stock can be just as useful as knowing whether analysts are upgrading their estimates. So you may also wish to search this free list of stocks with high insider ownership.

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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.