Park Medi World Limited Just Beat EPS By 27%: Here's What Analysts Think Will Happen Next
Investors in Park Medi World Limited (NSE:PARKHOSPS) had a good week, as its shares rose 4.6% to close at ₹292 following the release of its quarterly results. It looks like a credible result overall - although revenues of ₹4.8b were what the analysts expected, Park Medi World surprised by delivering a (statutory) profit of ₹2.05 per share, an impressive 27% above what was forecast. 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. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year.
Following the latest results, Park Medi World's two analysts are now forecasting revenues of ₹22.4b in 2027. This would be a huge 28% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to bounce 28% to ₹8.40. In the lead-up to this report, the analysts had been modelling revenues of ₹22.2b and earnings per share (EPS) of ₹8.20 in 2027. So the consensus seems to have become somewhat more optimistic on Park Medi World's earnings potential following these results.
View our latest analysis for Park Medi World
There's been no major changes to the consensus price target of ₹363, suggesting that the improved earnings per share outlook is not enough to have a long-term positive impact on the stock's valuation.
Of course, another way to look at these forecasts is to place them into context against the industry itself. The analysts are definitely expecting Park Medi World's growth to accelerate, with the forecast 38% annualised growth to the end of 2027 ranking favourably alongside historical growth of 21% per annum over the past year. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 18% per year. It seems obvious that, while the growth outlook is brighter than the recent past, the analysts also expect Park Medi World to grow faster than the wider industry.
The Bottom Line
The most important thing here is that the analysts upgraded their earnings per share estimates, suggesting that there has been a clear increase in optimism towards Park Medi World following these results. Happily, there were no major changes to revenue forecasts, with the business still expected to grow faster than the wider industry. The consensus price target held steady at ₹363, 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 least one analyst has provided forecasts out to 2029, which can be seen for free on our platform here.
You can also see our analysis of Park Medi World'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.