MPS Limited Just Beat EPS By 18%: Here's What Analysts Think Will Happen Next
As you might know, MPS Limited (NSE:MPSLTD) just kicked off its latest quarterly results with some very strong numbers. MPS beat earnings, with revenues hitting ₹2.2b, ahead of expectations, and statutory earnings per share outperforming analyst reckonings by a solid 18%. The analyst 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. So we collected the latest post-earnings statutory consensus estimate to see what could be in store for next year.
Taking into account the latest results, the consensus forecast from MPS' sole analyst is for revenues of ₹9.39b in 2027. This reflects a notable 16% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to climb 11% to ₹123. Yet prior to the latest earnings, the analyst had been anticipated revenues of ₹9.10b and earnings per share (EPS) of ₹116 in 2027. So there seems to have been a moderate uplift in sentiment following the latest results, given the upgrades to both revenue and earnings per share forecasts for next year.
See our latest analysis for MPS
Althoughthe analyst has upgraded their earnings estimates, there was no change to the consensus price target of ₹2,600, suggesting that the forecast performance does not have a long term impact on the company's valuation.
Of course, another way to look at these forecasts is to place them into context against the industry itself. The analyst is definitely expecting MPS' growth to accelerate, with the forecast 23% annualised growth to the end of 2027 ranking favourably alongside historical growth of 13% per annum over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 9.2% annually. Factoring in the forecast acceleration in revenue, it's pretty clear that MPS is expected to grow much faster than its industry.
The Bottom Line
The biggest takeaway for us is the consensus earnings per share upgrade, which suggests a clear improvement in sentiment around MPS' earnings potential next year. Happily, they also upgraded their revenue estimates, and are forecasting them to grow faster than the wider industry. The consensus price target held steady at ₹2,600, with the latest estimates not enough to have an impact on their price target.
With that in mind, we wouldn't be too quick to come to a conclusion on MPS. Long-term earnings power is much more important than next year's profits. We have analyst estimates for MPS going out as far as 2028, and you can see them free on our platform here.
Plus, you should also learn about the 1 warning sign we've spotted with MPS .
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