Analysts Are Updating Their Eicher Motors Limited (NSE:EICHERMOT) Estimates After Its Third-Quarter Results

It's been a mediocre week for Eicher Motors Limited (NSE:EICHERMOT) shareholders, with the stock dropping 10% to ₹4,849 in the week since its latest quarterly results. Revenues came in 2.0% below expectations, at ₹50b. Statutory earnings per share were relatively better off, with a per-share profit of ₹42.61 being roughly in line with analyst estimates. 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 Eicher Motors after the latest results.

See our latest analysis for Eicher Motors

Following the latest results, Eicher Motors' 31 analysts are now forecasting revenues of ₹208.6b in 2026. This would be a solid 12% improvement in revenue compared to the last 12 months. Per-share earnings are expected to ascend 14% to ₹184. Yet prior to the latest earnings, the analysts had been anticipated revenues of ₹207.5b and earnings per share (EPS) of ₹185 in 2026. So it's pretty clear that, although the analysts have updated their estimates, there's been no major change in expectations for the business following the latest results.

There were no changes to revenue or earnings estimates or the price target of ₹5,275, suggesting that the company has met expectations in its recent result. 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. The most optimistic Eicher Motors analyst has a price target of ₹6,598 per share, while the most pessimistic values it at ₹2,539. This is a fairly broad spread of estimates, suggesting that analysts are forecasting a wide range of possible outcomes for the business.

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. We would highlight that Eicher Motors' revenue growth is expected to slow, with the forecast 9.4% annualised growth rate until the end of 2026 being well below the historical 19% p.a. growth over the last five years. Compare this to the 15 other companies in this industry with analyst coverage, which are forecast to grow their revenue at 8.4% per year. Factoring in the forecast slowdown in growth, it looks like Eicher Motors is forecast to grow at about the same rate as the wider industry.

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. Happily, there were no real changes to revenue forecasts, with the business still expected to grow in line with the overall industry. The consensus price target held steady at ₹5,275, with the latest estimates not enough to have an impact on their price targets.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. At Simply Wall St, we have a full range of analyst estimates for Eicher Motors going out to 2027, and you can see them free on our platform here..

Another thing to consider is whether management and directors have been buying or selling stock recently. We provide an overview of all open market stock trades for the last twelve months on our platform, here.

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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.