Hindware Home Innovation Limited (NSE:HINDWAREAP) Released Earnings Last Week And Analysts Lifted Their Price Target To ₹346

Last week, you might have seen that Hindware Home Innovation Limited (NSE:HINDWAREAP) released its second-quarter result to the market. The early response was not positive, with shares down 6.4% to ₹344 in the past week. It was a pretty good result, with revenues of ₹6.8b, and Hindware Home Innovation came in a solid 12% ahead of expectations. 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. So we gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.

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Taking into account the latest results, the current consensus from Hindware Home Innovation's three analysts is for revenues of ₹27.2b in 2026. This would reflect a modest 7.7% increase on its revenue over the past 12 months. Hindware Home Innovation is also expected to turn profitable, with statutory earnings of ₹7.50 per share. Before this earnings report, the analysts had been forecasting revenues of ₹26.0b and earnings per share (EPS) of ₹5.70 in 2026. There's been a pretty noticeable increase in sentiment, with the analysts upgrading revenues and making a massive increase in earnings per share in particular.

Check out our latest analysis for Hindware Home Innovation

With these upgrades, we're not surprised to see that the analysts have lifted their price target 7.2% to ₹346per share. That's not the only conclusion we can draw from this data however, as some investors also like to consider the spread in estimates when evaluating analyst price targets. Currently, the most bullish analyst values Hindware Home Innovation at ₹375 per share, while the most bearish prices it at ₹320. Still, with such a tight range of estimates, it suggeststhe analysts have a pretty good idea of what they think the company is worth.

Taking a look at the bigger picture now, one of the ways we can understand these forecasts is to see how they compare to both past performance and industry growth estimates. The analysts are definitely expecting Hindware Home Innovation's growth to accelerate, with the forecast 16% annualised growth to the end of 2026 ranking favourably alongside historical growth of 8.3% 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 4.8% per year. Factoring in the forecast acceleration in revenue, it's pretty clear that Hindware Home Innovation is expected to grow much faster than its industry.

The Bottom Line

The biggest takeaway for us is the consensus earnings per share upgrade, which suggests a clear improvement in sentiment around Hindware Home Innovation's earnings potential next year. Happily, they also upgraded their revenue estimates, and are forecasting them 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.

With that in mind, we wouldn't be too quick to come to a conclusion on Hindware Home Innovation. Long-term earnings power is much more important than next year's profits. We have forecasts for Hindware Home Innovation going out to 2028, and you can see them free on our platform here.

We don't want to rain on the parade too much, but we did also find 2 warning signs for Hindware Home Innovation (1 is a bit unpleasant!) that you need to be mindful of.

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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.