Dodla Dairy Limited (NSE:DODLA) Second-Quarter Results Just Came Out: Here's What Analysts Are Forecasting For This Year
The quarterly results for Dodla Dairy Limited (NSE:DODLA) were released last week, making it a good time to revisit its performance. It was a credible result overall, with revenues of ₹12b and statutory earnings per share of ₹44.26 both in line with analyst estimates, showing that Dodla Dairy is executing in line with expectations. 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. We've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.
Following the latest results, Dodla Dairy's four analysts are now forecasting revenues of ₹48.1b in 2027. This would be a reasonable 7.1% improvement in revenue compared to the last 12 months. Statutory earnings per share are expected to dip 6.4% to ₹33.45 in the same period. In the lead-up to this report, the analysts had been modelling revenues of ₹47.8b and earnings per share (EPS) of ₹38.48 in 2027. So there's definitely been a decline in sentiment after the latest results, noting the real cut to new EPS forecasts.
See our latest analysis for Dodla Dairy
The consensus price target held steady at ₹1,253, with the analysts seemingly voting that their lower forecast earnings are not expected to lead to a lower stock price in the foreseeable future. That's not the only conclusion we can draw from this data however, as some investors also like to consider the spread in estimates when evaluating analyst price targets. There are some variant perceptions on Dodla Dairy, with the most bullish analyst valuing it at ₹1,304 and the most bearish at ₹1,118 per share. This is a very narrow spread of estimates, implying either that Dodla Dairy is an easy company to value, or - more likely - the analysts are relying heavily on some key assumptions.
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. We can infer from the latest estimates that forecasts expect a continuation of Dodla Dairy'shistorical trends, as the 15% annualised revenue growth to the end of 2027 is roughly in line with the 14% annual growth over the past five years. Compare this with the broader industry, which analyst estimates (in aggregate) suggest will see revenues grow 11% annually. So although Dodla Dairy is expected to maintain its revenue growth rate, it's definitely expected to grow faster than the wider industry.
The Bottom Line
The most important thing to take away is that the analysts downgraded their earnings per share estimates, showing that there has been a clear decline in sentiment following these results. Fortunately, they also reconfirmed their revenue numbers, suggesting that it's tracking in line with expectations. Additionally, our data suggests that revenue is expected to grow faster 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 Dodla Dairy 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 Dodla Dairy .
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