Anicom Holdings, Inc. (TSE:8715) Just Reported Earnings, And Analysts Cut Their Target Price
The half-yearly results for Anicom Holdings, Inc. (TSE:8715) were released last week, making it a good time to revisit its performance. It was an okay result overall, with revenues coming in at JP¥19b, roughly what the analysts had been expecting. The analysts typically update their forecasts at each earnings report, and we can judge from their estimates whether their view of the company has changed or if there are any new concerns to be aware of. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.
After the latest results, the four analysts covering Anicom Holdings are now predicting revenues of JP¥81.4b in 2027. If met, this would reflect a reasonable 3.9% improvement in revenue compared to the last 12 months. Statutory earnings per share are expected to shrink 3.7% to JP¥48.84 in the same period. In the lead-up to this report, the analysts had been modelling revenues of JP¥81.6b and earnings per share (EPS) of JP¥48.72 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.
Check out our latest analysis for Anicom Holdings
The consensus price target fell 6.5% to JP¥1,433, suggesting that the analysts might have been a bit enthusiastic in their previous valuation - or they were expecting the company to provide stronger guidance in the semi-annual results. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. There are some variant perceptions on Anicom Holdings, with the most bullish analyst valuing it at JP¥1,600 and the most bearish at JP¥1,300 per share. Still, with such a tight range of estimates, it suggeststhe analysts have a pretty good idea of what they think the company is worth.
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 period to the end of 2027 brings more of the same, according to the analysts, with revenue forecast to display 7.9% growth on an annualised basis. That is in line with its 8.8% annual growth over the past five years. Compare this with the broader industry, which analyst estimates (in aggregate) suggest will see revenues grow 2.9% annually. So it's pretty clear that Anicom Holdings is forecast to grow substantially faster than its 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. Happily, there were no major changes to revenue forecasts, with the business still expected to grow faster than the wider industry. Furthermore, the analysts also cut their price targets, suggesting that the latest news has led to greater pessimism about the intrinsic value of the business.
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 Anicom Holdings going out to 2029, and you can see them free on our platform here..
You can also see our analysis of Anicom Holdings' Board and CEO remuneration and experience, and whether company insiders have been buying stock.
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