Whirlpool of India Limited Earnings Missed Analyst Estimates: Here's What Analysts Are Forecasting Now
Whirlpool of India Limited (NSE:WHIRLPOOL) came out with its first-quarter 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 looks like a pretty bad result, all things considered. Although revenues of ₹27b were in line with analyst predictions, statutory earnings fell badly short, missing estimates by 28% to hit ₹8.11 per share. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analysts have changed their mind on Whirlpool of India after the latest results.
Taking into account the latest results, the current consensus from Whirlpool of India's ten analysts is for revenues of ₹90.3b in 2027. This would reflect a meaningful 8.2% increase on its revenue over the past 12 months. Statutory earnings per share are predicted to jump 28% to ₹25.29. Before this earnings report, the analysts had been forecasting revenues of ₹90.3b and earnings per share (EPS) of ₹29.87 in 2027. So there's definitely been a decline in sentiment after the latest results, noting the substantial drop in new EPS forecasts.
See our latest analysis for Whirlpool of India
It might be a surprise to learn that the consensus price target was broadly unchanged at ₹980, with the analysts clearly implying that the forecast decline in earnings is not expected to have much of an impact on valuation. 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. Currently, the most bullish analyst values Whirlpool of India at ₹1,454 per share, while the most bearish prices it at ₹721. This is a fairly broad spread of estimates, suggesting that analysts are forecasting a wide range of possible outcomes for the business.
Taking a look at the bigger picture now, one of the ways we can understand these forecasts is to see how they compare to both past performance and industry growth estimates. The analysts are definitely expecting Whirlpool of India's growth to accelerate, with the forecast 11% annualised growth to the end of 2027 ranking favourably alongside historical growth of 5.8% per annum over the past five years. Compare this with other companies in the same industry, which are forecast to see revenue growth of 15% annually. It seems obvious that, while the future growth outlook is brighter than the recent past, Whirlpool of India is expected to grow slower than the wider industry.
The Bottom Line
The most important thing to take away is that the analysts downgraded their earnings per share estimates, showing that there has been a clear decline in sentiment following these results. On the plus side, there were no major changes to revenue estimates; although forecasts imply they will perform worse than the wider industry. The consensus price target held steady at ₹980, with the latest estimates not enough to have an impact on their price targets.
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 Whirlpool of India going out to 2029, and you can see them free on our platform here..
You should always think about risks though. Case in point, we've spotted 2 warning signs for Whirlpool of India 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.