Analyst Estimates: Here's What Brokers Think Of Mitsui Chemicals, Inc. (TSE:4183) After Its First-Quarter Report
It's been a good week for Mitsui Chemicals, Inc. (TSE:4183) shareholders, because the company has just released its latest quarterly results, and the shares gained 2.8% to JP¥2,178. Results overall were respectable, with statutory earnings of JP¥91.62 per share roughly in line with what the analysts had forecast. Revenues of JP¥460b came in 3.5% ahead of analyst predictions. 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. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year.
Taking into account the latest results, the current consensus from Mitsui Chemicals' twelve analysts is for revenues of JP¥1.89t in 2027. This would reflect a solid 10% increase on its revenue over the past 12 months. Statutory earnings per share are expected to crater 26% to JP¥135 in the same period. Before this earnings report, the analysts had been forecasting revenues of JP¥1.88t and earnings per share (EPS) of JP¥133 in 2027. So it's pretty clear that, although the analysts have updated their estimates, there's been no major change in expectations for the business following the latest results.
View our latest analysis for Mitsui Chemicals
The analysts reconfirmed their price target of JP¥2,376, showing that the business is executing well and in line with expectations. 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 Mitsui Chemicals at JP¥3,600 per share, while the most bearish prices it at JP¥1,800. This is a fairly broad spread of estimates, suggesting that analysts are forecasting a wide range of possible outcomes for the business.
Another way we can view these estimates is in the context of the bigger picture, such as how the forecasts stack up against past performance, and whether forecasts are more or less bullish relative to other companies in the industry. The analysts are definitely expecting Mitsui Chemicals' growth to accelerate, with the forecast 14% annualised growth to the end of 2027 ranking favourably alongside historical growth of 2.5% per annum over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 5.2% annually. It seems obvious that, while the growth outlook is brighter than the recent past, the analysts also expect Mitsui Chemicals to grow faster than the wider industry.
The Bottom Line
The most obvious conclusion is that there's been no major change in the business' prospects in recent times, with the analysts holding their earnings forecasts steady, in line with previous estimates. Fortunately, they also reconfirmed their revenue numbers, suggesting that it's tracking in line with expectations. Additionally, our data suggests that revenue is 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.
Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. At Simply Wall St, we have a full range of analyst estimates for Mitsui Chemicals going out to 2029, and you can see them free on our platform here..
And what about risks? Every company has them, and we've spotted 1 warning sign for Mitsui Chemicals you should know about.
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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.