Revenue Beat: Anupam Rasayan India Ltd Exceeded Revenue Forecasts By 25% And Analysts Are Updating Their Estimates
Anupam Rasayan India Ltd (NSE:ANURAS) last week reported its latest first-quarter results, which makes it a good time for investors to dive in and see if the business is performing in line with expectations. Revenue of ₹6.5b came in a notable 25% ahead of expectations, while statutory earnings of ₹15.09 were in line with what the analysts had been forecasting. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. 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 current consensus from Anupam Rasayan India's three analysts is for revenues of ₹33.0b in 2027. This would reflect a sizeable 30% increase on its revenue over the past 12 months. Per-share earnings are expected to jump 83% to ₹28.10. Yet prior to the latest earnings, the analysts had been anticipated revenues of ₹37.2b and earnings per share (EPS) of ₹29.60 in 2027. It looks like sentiment has fallen somewhat in the aftermath of these results, with a substantial drop in revenue estimates and a minor downgrade to earnings per share numbers as well.
See our latest analysis for Anupam Rasayan India
The analysts made no major changes to their price target of ₹1,194, suggesting the downgrades are not expected to have a long-term impact on Anupam Rasayan India's valuation. 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 Anupam Rasayan India at ₹1,700 per share, while the most bearish prices it at ₹835. This is a fairly broad spread of estimates, suggesting that analysts are forecasting a wide range of possible outcomes for the business.
Of course, another way to look at these forecasts is to place them into context against the industry itself. The analysts are definitely expecting Anupam Rasayan India's growth to accelerate, with the forecast 42% annualised growth to the end of 2027 ranking favourably alongside historical growth of 16% per annum over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 12% annually. Factoring in the forecast acceleration in revenue, it's pretty clear that Anupam Rasayan India is expected to grow much faster than its industry.
The Bottom Line
The biggest concern is that the analysts reduced their earnings per share estimates, suggesting business headwinds could lay ahead for Anupam Rasayan India. Regrettably, they also downgraded their revenue estimates, but the latest forecasts still imply the business will grow faster than the wider industry. The consensus price target held steady at ₹1,194, 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. At Simply Wall St, we have a full range of analyst estimates for Anupam Rasayan India going out to 2029, and you can see them free on our platform here..
It might also be worth considering whether Anupam Rasayan India's debt load is appropriate, using our debt analysis tools on the Simply Wall St platform, here.
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.