Analysts Have Made A Financial Statement On TTK Prestige Limited's (NSE:TTKPRESTIG) Second-Quarter Report

It's been a good week for TTK Prestige Limited (NSE:TTKPRESTIG) shareholders, because the company has just released its latest quarterly results, and the shares gained 7.1% to ₹895. Results were roughly in line with estimates, with revenues of ₹7.5b and statutory earnings per share of ₹16.48. 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 thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.

See our latest analysis for TTK Prestige

After the latest results, the seven analysts covering TTK Prestige are now predicting revenues of ₹28.1b in 2025. If met, this would reflect a satisfactory 4.3% improvement in revenue compared to the last 12 months. Per-share earnings are expected to climb 19% to ₹18.74. Before this earnings report, the analysts had been forecasting revenues of ₹29.0b and earnings per share (EPS) of ₹19.56 in 2025. The analysts are less bullish than they were before these results, given the reduced revenue forecasts and the minor downgrade to earnings per share expectations.

The analysts made no major changes to their price target of ₹914, suggesting the downgrades are not expected to have a long-term impact on TTK Prestige's valuation. 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 TTK Prestige at ₹1,027 per share, while the most bearish prices it at ₹775. Still, with such a tight range of estimates, it suggeststhe analysts have a pretty good idea of what they think the company is worth.

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. The analysts are definitely expecting TTK Prestige's growth to accelerate, with the forecast 8.7% annualised growth to the end of 2025 ranking favourably alongside historical growth of 7.1% per annum over the past five years. Compare this with other companies in the same industry, which are forecast to see revenue growth of 17% annually. It seems obvious that, while the future growth outlook is brighter than the recent past, TTK Prestige is expected to grow slower than the wider industry.

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. Unfortunately, they also downgraded their revenue estimates, and our data indicates underperformance compared to the wider industry. Even so, earnings per share are more important to the intrinsic value of the business. The consensus price target held steady at ₹914, with the latest estimates not enough to have an impact on their price targets.

With that in mind, we wouldn't be too quick to come to a conclusion on TTK Prestige. Long-term earnings power is much more important than next year's profits. We have forecasts for TTK Prestige going out to 2027, and you can see them free on our platform here.

You should always think about risks though. Case in point, we've spotted 2 warning signs for TTK Prestige you should be aware of.

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.