Analysts Have Made A Financial Statement On Prudent Corporate Advisory Services Limited's (NSE:PRUDENT) First-Quarter Report

Prudent Corporate Advisory Services Limited (NSE:PRUDENT) shareholders are probably feeling a little disappointed, since its shares fell 7.8% to ₹2,669 in the week after its latest first-quarter results. It was a credible result overall, with revenues of ₹2.9b and statutory earnings per share of ₹12.50 both in line with analyst estimates, showing that Prudent Advisory Services is executing in line with expectations. 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've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.

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Taking into account the latest results, the most recent consensus for Prudent Advisory Services from six analysts is for revenues of ₹13.4b in 2026. If met, it would imply a notable 13% increase on its revenue over the past 12 months. Per-share earnings are expected to swell 11% to ₹54.55. Before this earnings report, the analysts had been forecasting revenues of ₹12.9b and earnings per share (EPS) of ₹54.26 in 2026. So it looks like there's been no major change in sentiment following the latest results, although the analysts have made a small lift in to revenue forecasts.

View our latest analysis for Prudent Advisory Services

It may not be a surprise to see thatthe analysts have reconfirmed their price target of ₹2,746, implying that the uplift in revenue is not expected to greatly contribute to Prudent Advisory Services's valuation in the near term. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. Currently, the most bullish analyst values Prudent Advisory Services at ₹3,565 per share, while the most bearish prices it at ₹2,300. As you can see, analysts are not all in agreement on the stock's future, but the range of estimates is still reasonably narrow, which could suggest that the outcome is not totally unpredictable.

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. It's pretty clear that there is an expectation that Prudent Advisory Services' revenue growth will slow down substantially, with revenues to the end of 2026 expected to display 18% growth on an annualised basis. This is compared to a historical growth rate of 30% over the past three years. Juxtapose this against the other companies in the industry with analyst coverage, which are forecast to grow their revenues (in aggregate) 13% per year. Even after the forecast slowdown in growth, it seems obvious that Prudent Advisory Services is also expected to grow faster than the wider industry.

The Bottom Line

The most obvious conclusion is that there's been no major change in the business' prospects in recent times, with the analysts holding their earnings forecasts steady, in line with previous estimates. Pleasantly, they also upgraded their revenue estimates, and their forecasts suggest the business is expected to grow faster than the wider industry. The consensus price target held steady at ₹2,746, with the latest estimates not enough to have an impact on their price targets.

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 Prudent Advisory Services going out to 2028, and you can see them free on our platform here.

Another thing to consider is whether management and directors have been buying or selling stock recently. We provide an overview of all open market stock trades for the last twelve months on our 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.