Eicher Motors Limited (NSE:EICHERMOT) Released Earnings Last Week And Analysts Lifted Their Price Target To ₹4,334

Eicher Motors Limited (NSE:EICHERMOT) came out with its yearly results last week, and we wanted to see how the business is performing and what industry forecasters think of the company following this report. It was a credible result overall, with revenues of ₹165b and statutory earnings per share of ₹146 both in line with analyst estimates, showing that Eicher Motors is executing in line with expectations. 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. So we gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.

Check out our latest analysis for Eicher Motors

Taking into account the latest results, the most recent consensus for Eicher Motors from 29 analysts is for revenues of ₹185.2b in 2025. If met, it would imply a meaningful 12% increase on its revenue over the past 12 months. Per-share earnings are expected to swell 13% to ₹166. Yet prior to the latest earnings, the analysts had been anticipated revenues of ₹183.6b and earnings per share (EPS) of ₹162 in 2025. So the consensus seems to have become somewhat more optimistic on Eicher Motors' earnings potential following these results.

The analysts have been lifting their price targets on the back of the earnings upgrade, with the consensus price target rising 5.5% to ₹4,334. 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 ₹6,003 per share, while the most pessimistic values it at ₹3,101. Note the wide gap in analyst price targets? This implies to us that there is a fairly broad range of possible scenarios for the underlying business.

Of course, another way to look at these forecasts is to place them into context against the industry itself. The period to the end of 2025 brings more of the same, according to the analysts, with revenue forecast to display 12% growth on an annualised basis. That is in line with its 14% annual growth over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to see their revenues grow 7.3% per year. So although Eicher Motors is expected to maintain its revenue growth rate, it's definitely expected to grow faster than the wider industry.

The Bottom Line

The biggest takeaway for us is the consensus earnings per share upgrade, which suggests a clear improvement in sentiment around Eicher Motors' earnings potential next year. Happily, there were no major changes to revenue forecasts, with the business still expected to grow faster than the wider industry. We note an upgrade to the price target, suggesting that the analysts believes the intrinsic value of the business is likely to improve over time.

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 Eicher Motors going out to 2027, and you can see them free on our platform here..

You can also see our analysis of Eicher Motors' 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.