Shareholders will be ecstatic, with their stake up 42% over the past week following Just Dial Limited's (NSE:JUSTDIAL) latest first-quarter results. It was a workmanlike result, with revenues of ₹3.3b coming in 3.1% ahead of expectations, and statutory earnings per share of ₹58.44, in line with analyst appraisals. 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, Just Dial's seven analysts are now forecasting revenues of ₹13.2b in 2027. This would be a reasonable 6.0% improvement in revenue compared to the last 12 months. Per-share earnings are expected to accumulate 4.9% to ₹62.10. Yet prior to the latest earnings, the analysts had been anticipated revenues of ₹13.0b and earnings per share (EPS) of ₹62.78 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 Just Dial
There were no changes to revenue or earnings estimates or the price target of ₹951, suggesting that the company has met expectations in its recent result. 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 Just Dial at ₹1,200 per share, while the most bearish prices it at ₹505. 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 pretty clear that there is an expectation that Just Dial's revenue growth will slow down substantially, with revenues to the end of 2027 expected to display 8.1% growth on an annualised basis. This is compared to a historical growth rate of 14% over the past five years. Juxtapose this against the other companies in the industry with analyst coverage, which are forecast to grow their revenues (in aggregate) 8.6% annually. So it's pretty clear that, while Just Dial's revenue growth is expected to slow, it's expected to grow roughly in line with the 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 real changes to revenue forecasts, with the business still expected to grow in line with the overall 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.
With that in mind, we wouldn't be too quick to come to a conclusion on Just Dial. Long-term earnings power is much more important than next year's profits. We have forecasts for Just Dial 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 Just Dial 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.