ICRA Limited (NSE:ICRA) Analysts Are Pretty Bullish On The Stock After Recent Results

As you might know, ICRA Limited (NSE:ICRA) recently reported its quarterly numbers. ICRA reported in line with analyst predictions, delivering revenues of ₹1.3b and statutory earnings per share of ₹157, 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 analysts are 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 analysts latest (statutory) post-earnings forecasts for next year.

See our latest analysis for ICRA

Taking into account the latest results, the current consensus from ICRA's twin analysts is for revenues of ₹5.18b in 2025. This would reflect a notable 8.1% increase on its revenue over the past 12 months. Per-share earnings are expected to ascend 12% to ₹177. In the lead-up to this report, the analysts had been modelling revenues of ₹5.08b and earnings per share (EPS) of ₹173 in 2025. 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.

It will come as no surprise to learn that the analysts have increased their price target for ICRA 18% to ₹7,000on the back of these upgrades.

Of course, another way to look at these forecasts is to place them into context against the industry itself. It's clear from the latest estimates that ICRA's rate of growth is expected to accelerate meaningfully, with the forecast 17% annualised revenue growth to the end of 2025 noticeably faster than its historical growth of 9.4% p.a. over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 13% per year. It seems obvious that, while the growth outlook is brighter than the recent past, the analysts also expect ICRA to grow faster than the wider 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 ICRA following these results. Happily, they also upgraded their revenue estimates, and are forecasting them to grow faster than the wider industry. We note an upgrade to the price target, suggesting that the analysts believes the intrinsic value of the business is likely to improve over time.

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 analyst estimates for ICRA going out as far as 2027, and you can see them free on our platform here.

Plus, you should also learn about the 1 warning sign we've spotted with ICRA .

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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.