BSE Limited Just Recorded A 15% EPS Beat: Here's What Analysts Are Forecasting Next

BSE Limited (NSE:BSE) defied analyst predictions to release its second-quarter results, which were ahead of market expectations. BSE beat earnings, with revenues hitting ₹7.5b, ahead of expectations, and statutory earnings per share outperforming analyst reckonings by a solid 15%. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.

View our latest analysis for BSE

Taking into account the latest results, the current consensus from BSE's six analysts is for revenues of ₹27.7b in 2025. This would reflect a meaningful 13% increase on its revenue over the past 12 months. Per-share earnings are expected to soar 45% to ₹87.45. Before this earnings report, the analysts had been forecasting revenues of ₹27.2b and earnings per share (EPS) of ₹78.34 in 2025. There was no real change to the revenue estimates, but the analysts do seem more bullish on earnings, given the nice gain to earnings per share expectations following these results.

There's been no major changes to the consensus price target of ₹3,917, suggesting that the improved earnings per share outlook is not enough to have a long-term positive impact on the stock's valuation. There's another way to think about price targets though, and that's to look at the range of price targets put forward by analysts, because a wide range of estimates could suggest a diverse view on possible outcomes for the business. Currently, the most bullish analyst values BSE at ₹5,000 per share, while the most bearish prices it at ₹2,974. These price targets show that analysts do have some differing views on the business, but the estimates do not vary enough to suggest to us that some are betting on wild success or utter failure.

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 BSE'shistorical trends, as the 27% annualised revenue growth to the end of 2025 is roughly in line with the 27% annual growth over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to see their revenues grow 13% per year. So although BSE is expected to maintain its revenue growth rate, it's definitely expected to grow faster than the wider industry.

The Bottom Line

The biggest takeaway for us is the consensus earnings per share upgrade, which suggests a clear improvement in sentiment around BSE's earnings potential next year. Happily, there were no major changes to revenue forecasts, with the business still expected to grow faster than the wider industry. 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.

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 BSE 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 3 warning signs for BSE you should be aware of, and 1 of them is significant.

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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.