Shaily Engineering Plastics Limited (NSE:SHAILY) Reported Earnings Last Week And Analysts Are Already Upgrading Their Estimates

As you might know, Shaily Engineering Plastics Limited (NSE:SHAILY) recently reported its yearly numbers. It was a workmanlike result, with revenues of ₹7.9b coming in 2.2% ahead of expectations, and statutory earnings per share of ₹20.23, in line with analyst appraisals. 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. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.

Our free stock report includes 1 warning sign investors should be aware of before investing in Shaily Engineering Plastics. Read for free now.

Taking into account the latest results, the current consensus from Shaily Engineering Plastics' twin analysts is for revenues of ₹12.2b in 2026. This would reflect a sizeable 54% increase on its revenue over the past 12 months. Statutory earnings per share are predicted to soar 90% to ₹38.60. Before this earnings report, the analysts had been forecasting revenues of ₹10.9b and earnings per share (EPS) of ₹33.85 in 2026. So we can see there's been a pretty clear increase in sentiment following the latest results, with both revenues and earnings per share receiving a decent lift in the latest estimates.

View our latest analysis for Shaily Engineering Plastics

It will come as no surprise to learn that the analysts have increased their price target for Shaily Engineering Plastics 27% to ₹1,876on the back of these upgrades.

One way to get more context on these forecasts is to look at how they compare to both past performance, and how other companies in the same industry are performing. It's clear from the latest estimates that Shaily Engineering Plastics' rate of growth is expected to accelerate meaningfully, with the forecast 54% annualised revenue growth to the end of 2026 noticeably faster than its historical growth of 16% p.a. 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 13% per year. Factoring in the forecast acceleration in revenue, it's pretty clear that Shaily Engineering Plastics is expected to grow much faster than its industry.

The Bottom Line

The most important thing here is that the analysts upgraded their earnings per share estimates, suggesting that there has been a clear increase in optimism towards Shaily Engineering Plastics following these results. Pleasantly, they also upgraded their revenue estimates, and their forecasts suggest the business is expected to grow faster than the wider industry. There was also a nice increase in the price target, with the analysts clearly feeling that the intrinsic value of the business is improving.

Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. At least one analyst has provided forecasts out to 2027, which can be seen for free on our platform here.

That said, it's still necessary to consider the ever-present spectre of investment risk. We've identified 1 warning sign with Shaily Engineering Plastics , and understanding it should be part of your investment process.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

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.