Campus Activewear Limited (NSE:CAMPUS) Just Released Its Third-Quarter Results And Analysts Are Updating Their Estimates

It's been a good week for Campus Activewear Limited (NSE:CAMPUS) shareholders, because the company has just released its latest third-quarter results, and the shares gained 6.3% to ₹291. The result was positive overall - although revenues of ₹5.1b were in line with what the analysts predicted, Campus Activewear surprised by delivering a statutory profit of ₹1.52 per share, modestly greater than expected. 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. We've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.

See our latest analysis for Campus Activewear

After the latest results, the seven analysts covering Campus Activewear are now predicting revenues of ₹18.1b in 2026. If met, this would reflect a solid 16% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to jump 32% to ₹5.12. In the lead-up to this report, the analysts had been modelling revenues of ₹18.4b and earnings per share (EPS) of ₹5.50 in 2026. It's pretty clear that pessimism has reared its head after the latest results, leading to a weaker revenue outlook and a minor downgrade to earnings per share estimates.

The analysts made no major changes to their price target of ₹317, suggesting the downgrades are not expected to have a long-term impact on Campus Activewear's valuation. 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. The most optimistic Campus Activewear analyst has a price target of ₹390 per share, while the most pessimistic values it at ₹260. There are definitely some different views on the stock, but the range of estimates is not wide enough as to imply that the situation is unforecastable, in our view.

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. We can infer from the latest estimates that forecasts expect a continuation of Campus Activewear'shistorical trends, as the 13% annualised revenue growth to the end of 2026 is roughly in line with the 15% annual growth over the past five years. Juxtapose this against our data, which suggests that other companies (with analyst coverage) in the industry are forecast to see their revenues grow 14% per year. It's clear that while Campus Activewear's revenue growth is expected to continue on its current trajectory, it's only expected to grow in line with the industry itself.

The Bottom Line

The most important thing to take away is that the analysts downgraded their earnings per share estimates, showing that there has been a clear decline in sentiment following these results. Sadly, they also downgraded their revenue forecasts, but the business is still expected to grow at roughly the same rate as the industry itself. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. At Simply Wall St, we have a full range of analyst estimates for Campus Activewear going out to 2027, and you can see them free on our platform here..

You can also view our analysis of Campus Activewear's balance sheet, and whether we think Campus Activewear is carrying too much debt, 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.