TBO Tek Limited Beat Analyst Estimates: See What The Consensus Is Forecasting For This Year

As you might know, TBO Tek Limited (NSE:TBOTEK) just kicked off its latest quarterly results with some very strong numbers. Results were good overall, with revenues beating analyst predictions by 4.6% to hit ₹5.7b. Statutory earnings per share (EPS) came in at ₹6.27, some 9.7% above whatthe analysts had 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. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.

This technology could replace computers: discover the 20 stocks are working to make quantum computing a reality.

After the latest results, the eight analysts covering TBO Tek are now predicting revenues of ₹26.4b in 2026. If met, this would reflect a sizeable 36% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to step up 17% to ₹26.45. Before this earnings report, the analysts had been forecasting revenues of ₹24.9b and earnings per share (EPS) of ₹24.28 in 2026. It looks like there's been a modest increase in sentiment following the latest results, withthe analysts becoming a bit more optimistic in their predictions for both revenues and earnings.

View our latest analysis for TBO Tek

Despite these upgrades,the analysts have not made any major changes to their price target of ₹1,814, suggesting that the higher estimates are not likely to have a long term impact on what the stock is worth. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. The most optimistic TBO Tek analyst has a price target of ₹2,020 per share, while the most pessimistic values it at ₹1,680. Even so, with a relatively close grouping of estimates, it looks like the analysts are quite confident in their valuations, suggesting TBO Tek is an easy business to forecast or the the analysts are all using similar assumptions.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the TBO Tek's past performance and to peers in the same industry. It's clear from the latest estimates that TBO Tek's rate of growth is expected to accelerate meaningfully, with the forecast 85% annualised revenue growth to the end of 2026 noticeably faster than its historical growth of 24% p.a. over the past three years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 22% per year. Factoring in the forecast acceleration in revenue, it's pretty clear that TBO Tek 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 TBO Tek following these results. Happily, they also upgraded their revenue estimates, and are forecasting them to grow faster than the wider industry. The consensus price target held steady at ₹1,814, 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 TBO Tek. Long-term earnings power is much more important than next year's profits. We have forecasts for TBO Tek going out to 2028, and you can see them free on our platform here.

We also provide an overview of the TBO Tek Board and CEO remuneration and length of tenure at the company, and whether insiders have been buying the stock, here.

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.