Marui Group Co., Ltd. (TSE:8252) came out with its interim results last week, and we wanted to see how the business is performing and what industry forecasters think of the company following this report. Results were roughly in line with estimates, with revenues of JP¥147b and statutory earnings per share of JP¥44.03. 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. We've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.
Taking into account the latest results, the current consensus from Marui Group's seven analysts is for revenues of JP¥300.2b in 2027. This would reflect a satisfactory 4.5% increase on its revenue over the past 12 months. Statutory earnings per share are forecast to dip 2.9% to JP¥170 in the same period. In the lead-up to this report, the analysts had been modelling revenues of JP¥299.3b and earnings per share (EPS) of JP¥171 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 Marui Group
It will come as no surprise then, to learn that the consensus price target is largely unchanged at JP¥3,375. 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. The most optimistic Marui Group analyst has a price target of JP¥3,600 per share, while the most pessimistic values it at JP¥3,100. Still, with such a tight range of estimates, it suggeststhe analysts have a pretty good idea of what they think the company is worth.
These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Marui Group's past performance and to peers in the same industry. It's clear from the latest estimates that Marui Group's rate of growth is expected to accelerate meaningfully, with the forecast 9.1% annualised revenue growth to the end of 2027 noticeably faster than its historical growth of 6.8% p.a. over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 5.3% annually. Factoring in the forecast acceleration in revenue, it's pretty clear that Marui Group 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. 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 Marui Group. Long-term earnings power is much more important than next year's profits. At Simply Wall St, we have a full range of analyst estimates for Marui Group going out to 2029, and you can see them free on our platform here..
We don't want to rain on the parade too much, but we did also find 2 warning signs for Marui Group (1 is concerning!) that you need to be mindful of.
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