Investors in Bikaji Foods International Limited (NSE:BIKAJI) had a good week, as its shares rose 5.5% to close at ₹476 following the release of its quarterly results. Revenues were in line with forecasts, at ₹9.4b, although statutory earnings per share came in 12% below what the analysts expected, at ₹2.82 per share. Following the result, the analysts have updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. So we gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.
Taking into account the latest results, the current consensus from Bikaji Foods International's ten analysts is for revenues of ₹34.4b in 2027. This would reflect a decent 8.0% increase on its revenue over the past 12 months. Per-share earnings are expected to shoot up 20% to ₹11.99. In the lead-up to this report, the analysts had been modelling revenues of ₹34.3b and earnings per share (EPS) of ₹11.99 in 2027. The consensus analysts don't seem to have seen anything in these results that would have changed their view on the business, given there's been no major change to their estimates.
See our latest analysis for Bikaji Foods International
The analysts reconfirmed their price target of ₹720, showing that the business is executing well and in line with expectations. The consensus price target is just an average of individual analyst targets, so - it could be handy to see how wide the range of underlying estimates is. Currently, the most bullish analyst values Bikaji Foods International at ₹800 per share, while the most bearish prices it at ₹545. These price targets show that analysts do have some differing views on the business, but the estimates do not vary enough to suggest to us that some are betting on wild success or utter failure.
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. It's clear from the latest estimates that Bikaji Foods International's rate of growth is expected to accelerate meaningfully, with the forecast 17% annualised revenue growth to the end of 2027 noticeably faster than its historical growth of 13% 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 11% per year. It seems obvious that, while the growth outlook is brighter than the recent past, the analysts also expect Bikaji Foods International to grow faster than the wider 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. 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 Bikaji Foods International. Long-term earnings power is much more important than next year's profits. We have forecasts for Bikaji Foods International going out to 2029, and you can see them free on our platform here.
We also provide an overview of the Bikaji Foods International Board and CEO remuneration and length of tenure at the company, and whether insiders have been buying the stock, here.
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