The latest analyst coverage could presage a bad day for Aster DM Healthcare Limited (NSE:ASTERDM), with the analysts making across-the-board cuts to their statutory estimates that might leave shareholders a little shell-shocked. This report focused on revenue estimates, and it looks as though the consensus view of the business has become substantially more conservative.
Following the downgrade, the most recent consensus for Aster DM Healthcare from its four analysts is for revenues of ₹63b in 2026 which, if met, would be a huge 45% increase on its sales over the past 12 months. Before the latest update, the analysts were foreseeing ₹70b of revenue in 2026. It looks like forecasts have become a fair bit less optimistic on Aster DM Healthcare, given the substantial drop in revenue estimates.
Check out our latest analysis for Aster DM Healthcare
Looking at the bigger picture now, one of the ways we can make sense of these forecasts is to see how they measure up against both past performance and industry growth estimates. For example, we noticed that Aster DM Healthcare's rate of growth is expected to accelerate meaningfully, with revenues forecast to exhibit 111% growth to the end of 2026 on an annualised basis. That is well above its historical decline of 15% a year over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in the industry are forecast to see their revenue grow 20% per year. Not only are Aster DM Healthcare's revenues expected to improve, it seems that the analysts are also expecting it to grow faster than the wider industry.
The clear low-light was that analysts slashing their revenue forecasts for Aster DM Healthcare this year. The analysts also expect revenues to grow faster than the wider market. Given the stark change in sentiment, we'd understand if investors became more cautious on Aster DM Healthcare after today.
In light of the downgrade, our automated discounted cash flow valuation tool suggests that Aster DM Healthcare could now be moderately overvalued. Find out why, and see how we estimate the valuation for free on our platform here.
Of course, seeing company management invest large sums of money in a stock can be just as useful as knowing whether analysts are downgrading their estimates. So you may also wish to search this free list of stocks with high insider ownership.
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