Coromandel International Limited Just Beat Revenue By 11%: Here's What Analysts Think Will Happen Next
Coromandel International Limited (NSE:COROMANDEL) defied analyst predictions to release its second-quarter results, which were ahead of market expectations. It was a positive result, with revenues and statutory earnings per share (EPS) both performing well. Revenues were 11% higher than the analysts had forecast, at ₹97b, while EPS of ₹27.30 beat analyst models by 8.5%. 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. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analysts have changed their mind on Coromandel International after the latest results.
Following the latest results, Coromandel International's eleven analysts are now forecasting revenues of ₹293.5b in 2026. This would be a satisfactory 2.5% improvement in revenue compared to the last 12 months. Statutory earnings per share are expected to reduce 3.4% to ₹78.63 in the same period. Before this earnings report, the analysts had been forecasting revenues of ₹279.3b and earnings per share (EPS) of ₹77.54 in 2026. There doesn't appear to have been a major change in sentiment following the results, other than the modest lift to revenue estimates.
See our latest analysis for Coromandel International
Even though revenue forecasts increased, there was no change to the consensus price target of ₹2,598, suggesting the analysts are focused on earnings as the driver of value creation. 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 Coromandel International, with the most bullish analyst valuing it at ₹3,234 and the most bearish at ₹2,100 per share. These price targets show that analysts do have some differing views on the business, but the estimates do not vary enough to suggest to us that some are betting on wild success or utter failure.
These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Coromandel International's past performance and to peers in the same industry. It's pretty clear that there is an expectation that Coromandel International's revenue growth will slow down substantially, with revenues to the end of 2026 expected to display 5.1% growth on an annualised basis. This is compared to a historical growth rate of 11% over the past five years. Compare this against other companies (with analyst forecasts) in the industry, which are in aggregate expected to see revenue growth of 13% annually. So it's pretty clear that, while revenue growth is expected to slow down, the wider industry is also expected to grow faster than Coromandel International.
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. They also upgraded their revenue estimates for next year, even though it is expected to grow slower 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.
With that in mind, we wouldn't be too quick to come to a conclusion on Coromandel International. 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 Coromandel International going out to 2028, and you can see them free on our platform here..
Don't forget that there may still be risks. For instance, we've identified 1 warning sign for Coromandel International that you should be aware of.
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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.