Earnings Beat: Here's What Jubilant Ingrevia Limited (NSE:JUBLINGREA) Analysts Are Forecasting For This Year
Jubilant Ingrevia Limited (NSE:JUBLINGREA) just released its quarterly report and things are looking bullish. The company beat expectations with revenues of ₹14b arriving 5.2% ahead of forecasts. Statutory earnings per share (EPS) were ₹7.06, 5.4% ahead of estimates. 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.
Following the latest results, Jubilant Ingrevia's seven analysts are now forecasting revenues of ₹54.2b in 2027. This would be a decent 10% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to climb 20% to ₹26.65. Yet prior to the latest earnings, the analysts had been anticipated revenues of ₹53.3b and earnings per share (EPS) of ₹25.73 in 2027. The analysts seems to have become more bullish on the business, judging by their new earnings per share estimates.
See our latest analysis for Jubilant Ingrevia
The consensus price target fell 6.6% to ₹905, suggesting the increase in earnings forecasts was not enough to offset other the analysts concerns. Fixating on a single price target can be unwise though, since the consensus target is effectively the average of analyst price targets. As a result, some investors like to look at the range of estimates to see if there are any diverging opinions on the company's valuation. The most optimistic Jubilant Ingrevia analyst has a price target of ₹1,200 per share, while the most pessimistic values it at ₹649. 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. It's clear from the latest estimates that Jubilant Ingrevia's rate of growth is expected to accelerate meaningfully, with the forecast 21% annualised revenue growth to the end of 2027 noticeably faster than its historical growth of 3.7% p.a. over the past three years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 12% per year. Factoring in the forecast acceleration in revenue, it's pretty clear that Jubilant Ingrevia is expected to grow much faster than its industry.
The Bottom Line
The most important thing here is that the analysts upgraded their earnings per share estimates, suggesting that there has been a clear increase in optimism towards Jubilant Ingrevia following these results. Happily, there were no major changes to revenue forecasts, with the business still expected to grow faster than the wider industry. The consensus price target fell measurably, with the analysts seemingly not reassured by the latest results, leading to a lower estimate of Jubilant Ingrevia's future valuation.
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 Jubilant Ingrevia analysts - going out to 2029, and you can see them free on our platform here.
You can also see whether Jubilant Ingrevia is carrying too much debt, and whether its balance sheet is healthy, for free on our platform here.
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