Safari Industries (India) Limited (NSE:SAFARI) just released its quarterly report and things are looking bullish. Safari Industries (India) beat earnings, with revenues hitting ₹5.9b, ahead of expectations, and statutory earnings per share outperforming analyst reckonings by a solid 14%. 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. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analysts have changed their mind on Safari Industries (India) after the latest results.
Following the latest results, Safari Industries (India)'s ten analysts are now forecasting revenues of ₹23.5b in 2027. This would be a decent 11% improvement in revenue compared to the last 12 months. Per-share earnings are expected to expand 18% to ₹39.86. Before this earnings report, the analysts had been forecasting revenues of ₹23.6b and earnings per share (EPS) of ₹39.84 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 Safari Industries (India)
There were no changes to revenue or earnings estimates or the price target of ₹2,240, suggesting that the company has met expectations in its recent result. 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. There are some variant perceptions on Safari Industries (India), with the most bullish analyst valuing it at ₹2,759 and the most bearish at ₹1,953 per share. This shows there is still a bit of diversity in estimates, but analysts don't appear to be totally split on the stock as though it might be a success or failure situation.
Another way we can view these estimates is in the context of the bigger picture, such as how the forecasts stack up against past performance, and whether forecasts are more or less bullish relative to other companies in the industry. We would highlight that Safari Industries (India)'s revenue growth is expected to slow, with the forecast 15% annualised growth rate until the end of 2027 being well below the historical 24% p.a. growth over the last five years. Juxtapose this against the other companies in the industry with analyst coverage, which are forecast to grow their revenues (in aggregate) 13% annually. Factoring in the forecast slowdown in growth, it looks like Safari Industries (India) is forecast to grow at about the same rate as the wider 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. They also reconfirmed their revenue estimates, with the company predicted to grow at about the same rate as the wider 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 Safari Industries (India). Long-term earnings power is much more important than next year's profits. We have estimates - from multiple Safari Industries (India) analysts - going out to 2029, and you can see them free on our platform here.
You can also see our analysis of Safari Industries (India)'s Board and CEO remuneration and experience, and whether company insiders have been buying stock.
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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.