Earnings Update: Here's Why Analysts Just Lifted Their Yatharth Hospital & Trauma Care Services Limited (NSE:YATHARTH) Price Target To ₹835
Yatharth Hospital & Trauma Care Services Limited (NSE:YATHARTH) came out with its quarterly results last week, and we wanted to see how the business is performing and what industry forecasters think of the company following this report. It was a workmanlike result, with revenues of ₹2.8b coming in 2.4% ahead of expectations, and statutory earnings per share of ₹14.72, in line with analyst appraisals. The analysts 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 gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.
Taking into account the latest results, the consensus forecast from Yatharth Hospital & Trauma Care Services' three analysts is for revenues of ₹11.4b in 2026. This reflects a decent 13% improvement in revenue compared to the last 12 months. Per-share earnings are expected to shoot up 21% to ₹19.10. Yet prior to the latest earnings, the analysts had been anticipated revenues of ₹12.0b and earnings per share (EPS) of ₹18.40 in 2026. So it's pretty clear that while sentiment around revenues has declined following the latest results, the analysts are now more bullish on the company's earnings power.
Check out our latest analysis for Yatharth Hospital & Trauma Care Services
The average price target increased 7.1% to ₹835, with the analysts signalling that the improved earnings outlook is more important to the company's valuation than its revenue. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. Currently, the most bullish analyst values Yatharth Hospital & Trauma Care Services at ₹900 per share, while the most bearish prices it at ₹850. The narrow spread of estimates could suggest that the business' future is relatively easy to value, or thatthe analysts have a strong view on its prospects.
One way to get more context on these forecasts is to look at how they compare to both past performance, and how other companies in the same industry are performing. We can infer from the latest estimates that forecasts expect a continuation of Yatharth Hospital & Trauma Care Services'historical trends, as the 28% annualised revenue growth to the end of 2026 is roughly in line with the 26% annual growth over the past three years. Compare this with the broader industry, which analyst estimates (in aggregate) suggest will see revenues grow 19% annually. So it's pretty clear that Yatharth Hospital & Trauma Care Services is forecast to grow substantially 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 Yatharth Hospital & Trauma Care Services' earnings potential next year. Regrettably, they also downgraded their revenue estimates, but the latest forecasts still imply the business will grow faster than the wider industry. Still, earnings per share are more important to value creation for shareholders. There was also a nice increase in the price target, with the analysts clearly feeling that the intrinsic value of the business is improving.
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. We have estimates - from multiple Yatharth Hospital & Trauma Care Services analysts - going out to 2028, and you can see them free on our platform here.
However, before you get too enthused, we've discovered 1 warning sign for Yatharth Hospital & Trauma Care Services 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.