Campus Activewear Limited Just Missed Earnings - But Analysts Have Updated Their Models

Last week saw the newest half-yearly earnings release from Campus Activewear Limited (NSE:CAMPUS), an important milestone in the company's journey to build a stronger business. Revenue of ₹7.3b surpassed estimates by 2.8%, although statutory earnings per share missed badly, coming in 27% below expectations at ₹0.66 per share. 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. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year.

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Taking into account the latest results, the consensus forecast from Campus Activewear's seven analysts is for revenues of ₹17.8b in 2026. This reflects a credible 7.3% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to climb 18% to ₹4.77. Yet prior to the latest earnings, the analysts had been anticipated revenues of ₹17.6b and earnings per share (EPS) of ₹4.80 in 2026. The consensus analysts don't seem to have seen anything in these results that would have changed their view on the business, given there's been no major change to their estimates.

View our latest analysis for Campus Activewear

There were no changes to revenue or earnings estimates or the price target of ₹298, suggesting that the company has met expectations in its recent result. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. There are some variant perceptions on Campus Activewear, with the most bullish analyst valuing it at ₹335 and the most bearish at ₹253 per share. Even so, with a relatively close grouping of estimates, it looks like the analysts are quite confident in their valuations, suggesting Campus Activewear is an easy business to forecast or the the analysts are all using similar assumptions.

Looking at the bigger picture now, one of the ways we can make sense of these forecasts is to see how they measure up against both past performance and industry growth estimates. The analysts are definitely expecting Campus Activewear's growth to accelerate, with the forecast 15% annualised growth to the end of 2026 ranking favourably alongside historical growth of 3.6% per annum over the past three years. Other similar companies in the industry (with analyst coverage) are also forecast to grow their revenue at 13% per year. Factoring in the forecast acceleration in revenue, it's pretty clear that Campus Activewear is expected to grow at about the same rate as the wider industry.

The Bottom Line

The most obvious conclusion is that there's been no major change in the business' prospects in recent times, with the analysts holding their earnings forecasts steady, in line with previous 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 ₹298, with the latest estimates not enough to have an impact on their price targets.

Following on from that line of thought, we think that the long-term prospects of the business are much more relevant than next year's earnings. We have forecasts for Campus Activewear going out to 2028, and you can see them free on our platform here.

You can also see whether Campus Activewear is carrying too much debt, and whether its balance sheet is healthy, for free 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.