PB Fintech Limited Just Recorded A 15% EPS Beat: Here's What Analysts Are Forecasting Next
A week ago, PB Fintech Limited (NSE:POLICYBZR) came out with a strong set of first-quarter numbers that could potentially lead to a re-rate of the stock. PB Fintech beat earnings, with revenues hitting ₹19b, ahead of expectations, and statutory earnings per share outperforming analyst reckonings by a solid 15%. 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. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.
Taking into account the latest results, the consensus forecast from PB Fintech's 24 analysts is for revenues of ₹89.8b in 2027. This reflects a major 22% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to bounce 46% to ₹23.56. In the lead-up to this report, the analysts had been modelling revenues of ₹88.0b and earnings per share (EPS) of ₹23.67 in 2027. There doesn't appear to have been a major change in sentiment following the results, other than the small increase to revenue estimates.
Check out our latest analysis for PB Fintech
It may not be a surprise to see thatthe analysts have reconfirmed their price target of ₹1,953, implying that the uplift in revenue is not expected to greatly contribute to PB Fintech's valuation in the near term. 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. There are some variant perceptions on PB Fintech, with the most bullish analyst valuing it at ₹2,500 and the most bearish at ₹1,215 per share. This is a fairly broad spread of estimates, suggesting that analysts are forecasting a wide range of possible outcomes for the business.
Looking at the bigger picture now, one of the ways we can make sense of these forecasts is to see how they measure up against 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 31% growth on an annualised basis. That is in line with its 33% 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 9.3% per year. So it's pretty clear that PB Fintech is forecast to grow substantially faster than its industry.
The Bottom Line
The most important thing to take away is that there's been no major change in sentiment, with the analysts reconfirming that the business is performing in line with their previous earnings per share estimates. Pleasantly, they also upgraded their revenue estimates, and their forecasts suggest the business is expected to grow faster than the wider industry. The consensus price target held steady at ₹1,953, with the latest estimates not enough to have an impact on their price targets.
With that in mind, we wouldn't be too quick to come to a conclusion on PB Fintech. Long-term earnings power is much more important than next year's profits. At Simply Wall St, we have a full range of analyst estimates for PB Fintech going out to 2029, and you can see them free on our platform here..
Another thing to consider is whether management and directors have been buying or selling stock recently. We provide an overview of all open market stock trades for the last twelve months on our platform, here.
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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.