Blue Star Limited Beat Analyst Estimates: See What The Consensus Is Forecasting For This Year

Blue Star Limited (NSE:BLUESTARCO) defied analyst predictions to release its full-year results, which were ahead of market expectations. Results were good overall, with revenues beating analyst predictions by 2.6% to hit ₹97b. Statutory earnings per share (EPS) came in at ₹20.77, some 5.2% above whatthe analysts had expected. Following the result, the analysts have updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analysts have changed their mind on Blue Star after the latest results.

Check out our latest analysis for Blue Star

Taking into account the latest results, the current consensus from Blue Star's 19 analysts is for revenues of ₹117.0b in 2025. This would reflect a huge 20% increase on its revenue over the past 12 months. Statutory earnings per share are predicted to leap 45% to ₹29.27. Before this earnings report, the analysts had been forecasting revenues of ₹113.2b and earnings per share (EPS) of ₹26.24 in 2025. So it seems there's been a definite increase in optimism about Blue Star's future following the latest results, with a substantial gain in the earnings per share forecasts in particular.

It will come as no surprise to learn that the analysts have increased their price target for Blue Star 6.6% to ₹1,312on the back of these upgrades. Fixating on a single price target can be unwise though, since the consensus target is effectively the average of analyst price targets. As a result, some investors like to look at the range of estimates to see if there are any diverging opinions on the company's valuation. Currently, the most bullish analyst values Blue Star at ₹1,670 per share, while the most bearish prices it at ₹970. These price targets show that analysts do have some differing views on the business, but the estimates do not vary enough to suggest to us that some are betting on wild success or utter failure.

Of course, another way to look at these forecasts is to place them into context against the industry itself. The analysts are definitely expecting Blue Star's growth to accelerate, with the forecast 20% annualised growth to the end of 2025 ranking favourably alongside historical growth of 15% per annum over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 15% per year. It seems obvious that, while the growth outlook is brighter than the recent past, the analysts also expect Blue Star 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 Blue Star's earnings potential next year. Pleasantly, they also upgraded their revenue estimates, and their forecasts suggest the business is 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 Blue Star going out to 2027, and you can see them free on our platform here..

You still need to take note of risks, for example - Blue Star has 3 warning signs (and 1 which is potentially serious) we think you should know about.

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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.