Analysts Have Been Trimming Their Raymond Lifestyle Limited (NSE:RAYMONDLSL) Price Target After Its Latest Report

Raymond Lifestyle Limited (NSE:RAYMONDLSL) last week reported its latest quarterly results, which makes it a good time for investors to dive in and see if the business is performing in line with expectations. Raymond Lifestyle reported in line with analyst predictions, delivering revenues of ₹18b and statutory earnings per share of ₹6.27, suggesting the business is executing well and in line with its plan. Earnings are an important time for investors, as they can track a company's performance, look at what the analyst is 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 analyst latest (statutory) post-earnings forecasts for next year.

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After the latest results, the lone analyst covering Raymond Lifestyle are now predicting revenues of ₹68.6b in 2026. If met, this would reflect a satisfactory 5.1% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to jump 188% to ₹35.20. Before this earnings report, the analyst had been forecasting revenues of ₹68.7b and earnings per share (EPS) of ₹43.50 in 2026. The analyst seem to have become more bearish following the latest results. While there were no changes to revenue forecasts, there was a real cut to EPS estimates.

See our latest analysis for Raymond Lifestyle

The average price target fell 16% to ₹1,611, with reduced earnings forecasts clearly tied to a lower valuation estimate.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Raymond Lifestyle's past performance and to peers in the same industry. We would highlight that Raymond Lifestyle's revenue growth is expected to slow, with the forecast 10% annualised growth rate until the end of 2026 being well below the historical 8,229% growth over the last year. Compare this against other companies (with analyst forecasts) in the industry, which are in aggregate expected to see revenue growth of 13% annually. So it's pretty clear that, while revenue growth is expected to slow down, the wider industry is also expected to grow faster than Raymond Lifestyle.

The Bottom Line

The biggest concern is that the analyst reduced their earnings per share estimates, suggesting business headwinds could lay ahead for Raymond Lifestyle. On the plus side, there were no major changes to revenue estimates; although forecasts imply they will perform worse than the wider industry. Furthermore, the analyst also cut their price targets, suggesting that the latest news has led to greater pessimism about the intrinsic value of the business.

Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. We have analyst estimates for Raymond Lifestyle going out as far as 2028, and you can see them free on our platform here.

It might also be worth considering whether Raymond Lifestyle's debt load is appropriate, using our debt analysis tools on the Simply Wall St 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.