Last week, you might have seen that Nipro Corporation (TSE:8086) released its half-year result to the market. The early response was not positive, with shares down 5.8% to JP¥1,364 in the past week. The results don't look great, especially considering that the analysts had been forecasting a profit and Nipro delivered a statutory loss of JP¥3.88 per share. Revenues of JP¥172b did beat expectations by 4.1% though. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.
Taking into account the latest results, Nipro's five analysts currently expect revenues in 2027 to be JP¥695.8b, approximately in line with the last 12 months. Per-share earnings are expected to jump 47% to JP¥95.70. In the lead-up to this report, the analysts had been modelling revenues of JP¥699.0b and earnings per share (EPS) of JP¥96.95 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.
View our latest analysis for Nipro
The analysts reconfirmed their price target of JP¥1,936, showing that the business is executing well and in line with expectations. 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. Currently, the most bullish analyst values Nipro at JP¥2,580 per share, while the most bearish prices it at JP¥1,600. As you can see, analysts are not all in agreement on the stock's future, but the range of estimates is still reasonably narrow, which could suggest that the outcome is not totally unpredictable.
These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Nipro's past performance and to peers in the same industry. We would highlight that Nipro's revenue growth is expected to slow, with the forecast 3.9% annualised growth rate until the end of 2027 being well below the historical 7.3% p.a. growth over the last five years. By way of comparison, the other companies in this industry with analyst coverage are forecast to grow their revenue at 6.7% per year. Factoring in the forecast slowdown in growth, it seems obvious that Nipro is also expected to grow slower than other industry participants.
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. Fortunately, the analysts also reconfirmed their revenue estimates, suggesting that it's tracking in line with expectations. Although our data does suggest that Nipro's revenue is expected to perform worse than the wider industry. The consensus price target held steady at JP¥1,936, with the latest estimates not enough to have an impact on their price targets.
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 Nipro going out to 2029, and you can see them free on our platform here..
Plus, you should also learn about the 3 warning signs we've spotted with Nipro (including 1 which can't be ignored) .
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