The Britannia Industries Limited (NSE:BRITANNIA) First-Quarter Results Are Out And Analysts Have Published New Forecasts
As you might know, Britannia Industries Limited (NSE:BRITANNIA) recently reported its quarterly numbers. Britannia Industries reported in line with analyst predictions, delivering revenues of ₹50b and statutory earnings per share of ₹24.55, suggesting the business is executing well and in line with its plan. The analysts typically update their forecasts at each earnings report, and we can judge from their estimates whether their view of the company has changed or if there are any new concerns to be aware of. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analysts have changed their mind on Britannia Industries after the latest results.
Following the latest results, Britannia Industries' 29 analysts are now forecasting revenues of ₹211.4b in 2027. This would be a notable 8.6% improvement in revenue compared to the last 12 months. Per-share earnings are expected to increase 5.4% to ₹114. Before this earnings report, the analysts had been forecasting revenues of ₹210.4b and earnings per share (EPS) of ₹114 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 Britannia Industries
The analysts reconfirmed their price target of ₹6,248, 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. The most optimistic Britannia Industries analyst has a price target of ₹7,260 per share, while the most pessimistic values it at ₹4,800. Analysts definitely have varying views on the business, but the spread of estimates is not wide enough in our view to suggest that extreme outcomes could await Britannia Industries shareholders.
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. The analysts are definitely expecting Britannia Industries' growth to accelerate, with the forecast 12% annualised growth to the end of 2027 ranking favourably alongside historical growth of 7.4% per annum over the past five years. Other similar companies in the industry (with analyst coverage) are also forecast to grow their revenue at 10% per year. Britannia Industries is expected to grow at about the same rate as its industry, so it's not clear that we can draw any conclusions from its growth relative to competitors.
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 real changes to revenue forecasts, with the business still expected to grow in line with the overall 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.
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 Britannia Industries going out to 2029, and you can see them free on our platform here..
That said, it's still necessary to consider the ever-present spectre of investment risk. We've identified 1 warning sign with Britannia Industries , and understanding it should be part of your investment process.
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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.