Sun TV Network Limited Just Beat EPS By 16%: Here's What Analysts Think Will Happen Next
As you might know, Sun TV Network Limited (NSE:SUNTV) just kicked off its latest quarterly results with some very strong numbers. It was overall a positive result, with revenues beating expectations by 4.5% to hit ₹9.4b. Sun TV Network reported statutory earnings per share (EPS) ₹9.25, which was a notable 16% above what the analysts had forecast. 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. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.
Taking into account the latest results, the current consensus from Sun TV Network's ten analysts is for revenues of ₹46.0b in 2027. This would reflect a decent 11% increase on its revenue over the past 12 months. Per-share earnings are expected to rise 7.3% to ₹41.91. Before this earnings report, the analysts had been forecasting revenues of ₹45.6b and earnings per share (EPS) of ₹41.86 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 Sun TV Network
The analysts reconfirmed their price target of ₹663, showing that the business is executing well and in line with expectations. That's not the only conclusion we can draw from this data however, as some investors also like to consider the spread in estimates when evaluating analyst price targets. There are some variant perceptions on Sun TV Network, with the most bullish analyst valuing it at ₹790 and the most bearish at ₹545 per share. There are definitely some different views on the stock, but the range of estimates is not wide enough as to imply that the situation is unforecastable, in our view.
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. The analysts are definitely expecting Sun TV Network's growth to accelerate, with the forecast 23% annualised growth to the end of 2027 ranking favourably alongside historical growth of 3.7% per annum over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 9.6% annually. Factoring in the forecast acceleration in revenue, it's pretty clear that Sun TV Network is expected to grow much faster than its industry.
The Bottom Line
The most important thing to take away is that there's been no major change in sentiment, with the analysts reconfirming that the business is performing in line with their previous earnings per share estimates. 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 held steady at ₹663, with the latest estimates not enough to have an impact on their price targets.
With that in mind, we wouldn't be too quick to come to a conclusion on Sun TV Network. Long-term earnings power is much more important than next year's profits. We have estimates - from multiple Sun TV Network analysts - going out to 2029, and you can see them free on our platform here.
It is also worth noting that we have found 2 warning signs for Sun TV Network (1 is a bit concerning!) that you need to take into consideration.
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