It’s been a good week for Krishna Institute of Medical Sciences Limited (NSE: KIMS) shareholders as the company just released its latest quarterly results and shares gained 2.2% to ₹1,262. Krishna Institute of Medical Sciences released a report in line with analysts’ expectations, generating revenue of ₹5.0 billion and statutory earnings per share of ₹41.88, suggesting the business is performing well and in line with his plan. It’s an important time for investors, as they can follow a company’s performance in its report, watch what experts are predicting for next year, and see if there’s been a change in company expectations. ‘company. So we’ve collected the latest post-earnings statutory consensus estimates to see what might be in store for next year.
See our latest analysis for Krishna Institute of Medical Sciences
Given the latest results, the current consensus of the three Krishna Institute of Medical Sciences analysts is for revenue of ₹22.0 billion in 2023, which would reflect a huge 32% increase in sales over the past 12 months. . Earnings per share are expected to climb 22% to ₹47.65. Looking ahead to this report, analysts had modeled revenue of ₹21.4 billion and earnings per share (EPS) of ₹46.88 in 2023. There does not appear to have been any major change in sentiment after the results, other than the slight increase in revenue estimates.
Even though the revenue forecast has increased, the consensus price target of ₹1,417 has not changed, suggesting analysts are focusing on earnings as the driver of value creation. This is not the only conclusion we can draw from this data, however, as some investors also like to take into account the discrepancy in estimates when evaluating analyst price targets. There are variant perceptions on the Krishna Institute of Medical Sciences, with the most bullish analyst pricing it at ₹1,603 and the most bearish at ₹1,153 per share. Analysts certainly have differing opinions on the company, but the scatter of estimates isn’t wide enough in our opinion to suggest that extreme results might be in store for Krishna Institute of Medical Sciences shareholders.
Another way to view these estimates is in the context of the big picture, such as how the forecast compares to past performance, and whether the forecast is more or less optimistic compared to other companies in the industry. Analysts certainly expect an acceleration in growth from the Krishna Institute of Medical Sciences, with projected annualized growth of 44% through the end of 2023 ranking favorably alongside historic growth of 4.4% per year over the past year. In contrast, our data suggests that other companies (with analyst coverage) in a similar industry are expected to grow revenue by 13% annually. It seems obvious that while growth prospects are brighter than in the recent past, analysts also expect the Krishna Institute of Medical Sciences to grow faster than the industry as a whole.
The most obvious conclusion is that there has been no major shift in the company’s outlook lately, with analysts holding their earnings forecast flat, in line with previous estimates. Luckily, they’ve also updated their revenue estimates, and their forecasts suggest the company is set to grow faster than the industry as a whole. There was no real change from the consensus price target, suggesting that the company’s intrinsic value has not undergone major changes with the latest estimates.
Continuing this thinking, we believe that the company’s long-term outlook is much more relevant than next year’s results. We have predictions for Krishna Institute of Medical Sciences till 2025, and you can view them for free on our platform here.
It might also be useful to determine if the Krishna Institute of Medical Sciences debt is appropriate, using our debt analysis tools on the Simply Wall St platform, here.
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This Simply Wall St article is general in nature. We provide commentary based on historical data and analyst forecasts only using unbiased methodology and our articles are not intended to be financial advice. It is not a recommendation to buy or sell stocks and does not take into account your objectives or financial situation. Our goal is to bring you targeted long-term analysis based on fundamental data. Note that our analysis may not take into account the latest announcements from price-sensitive companies or qualitative materials. Simply Wall St has no position in the stocks mentioned.
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