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Isuzu Motors Limited Just Recorded A 19% EPS Beat: Here's What Analysts Are Forecasting Next

Simply Wall St · 6d ago

It's been a good week for Isuzu Motors Limited (TSE:7202) shareholders, because the company has just released its latest third-quarter results, and the shares gained 3.0% to JP¥2,818. Revenues were JP¥874b, approximately in line with expectations, although statutory earnings per share (EPS) performed substantially better. EPS of JP¥73.91 were also better than expected, beating analyst predictions by 19%. 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.

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TSE:7202 Earnings and Revenue Growth February 15th 2026

After the latest results, the 14 analysts covering Isuzu Motors are now predicting revenues of JP¥3.66t in 2027. If met, this would reflect a meaningful 9.7% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to jump 40% to JP¥272. Before this earnings report, the analysts had been forecasting revenues of JP¥3.65t and earnings per share (EPS) of JP¥261 in 2027. So the consensus seems to have become somewhat more optimistic on Isuzu Motors' earnings potential following these results.

Check out our latest analysis for Isuzu Motors

The consensus price target was unchanged at JP¥2,588, implying that the improved earnings outlook is not expected to have a long term impact on value creation for shareholders. 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 Isuzu Motors, with the most bullish analyst valuing it at JP¥3,400 and the most bearish at JP¥1,900 per share. Analysts definitely have varying views on the business, but the spread of estimates is not wide enough in our view to suggest that extreme outcomes could await Isuzu Motors shareholders.

Of course, another way to look at these forecasts is to place them into context against the industry itself. It's pretty clear that there is an expectation that Isuzu Motors' revenue growth will slow down substantially, with revenues to the end of 2027 expected to display 7.7% growth on an annualised basis. This is compared to a historical growth rate of 10% over the past five years. By way of comparison, the other companies in this industry with analyst coverage are forecast to grow their revenue at 3.2% annually. So it's pretty clear that, while Isuzu Motors' revenue growth is expected to slow, it's still expected to grow faster than the industry itself.

The Bottom Line

The biggest takeaway for us is the consensus earnings per share upgrade, which suggests a clear improvement in sentiment around Isuzu Motors' earnings potential next year. Happily, there were no major changes to revenue forecasts, with the business still 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.

With that in mind, we wouldn't be too quick to come to a conclusion on Isuzu Motors. Long-term earnings power is much more important than next year's profits. We have estimates - from multiple Isuzu Motors analysts - going out to 2028, and you can see them free on our platform here.

You can also see whether Isuzu Motors is carrying too much debt, and whether its balance sheet is healthy, for free on our platform here.