Analysts Have Been Trimming Their Bikaji Foods International Limited (NSE:BIKAJI) Price Target After Its Latest Report

Shareholders might have noticed that Bikaji Foods International Limited (NSE:BIKAJI) filed its quarterly result this time last week. The early response was not positive, with shares down 9.3% to ₹659 in the past week. It was a workmanlike result, with revenues of ₹7.1b coming in 3.5% ahead of expectations, and statutory earnings per share of ₹10.63, in line with analyst appraisals. 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. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analysts have changed their mind on Bikaji Foods International after the latest results.

View our latest analysis for Bikaji Foods International

Taking into account the latest results, the current consensus from Bikaji Foods International's seven analysts is for revenues of ₹30.6b in 2026. This would reflect a meaningful 17% increase on its revenue over the past 12 months. Per-share earnings are expected to ascend 18% to ₹12.84. Yet prior to the latest earnings, the analysts had been anticipated revenues of ₹30.8b and earnings per share (EPS) of ₹13.47 in 2026. So it looks like there's been a small decline in overall sentiment after the recent results - there's been no major change to revenue estimates, but the analysts did make a minor downgrade to their earnings per share forecasts.

The average price target fell 6.0% to ₹889, with reduced earnings forecasts clearly tied to a lower valuation estimate. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. There are some variant perceptions on Bikaji Foods International, with the most bullish analyst valuing it at ₹973 and the most bearish at ₹750 per share. Even so, with a relatively close grouping of estimates, it looks like the analysts are quite confident in their valuations, suggesting Bikaji Foods International is an easy business to forecast or the the analysts are all using similar assumptions.

Looking at the bigger picture now, one of the ways we can make sense of these forecasts is to see how they measure up against both past performance and industry growth estimates. We would highlight that Bikaji Foods International's revenue growth is expected to slow, with the forecast 13% annualised growth rate until the end of 2026 being well below the historical 17% p.a. growth over the last five years. By way of comparison, the other companies in this industry with analyst coverage are forecast to grow their revenue at 11% annually. Even after the forecast slowdown in growth, it seems obvious that Bikaji Foods International is also expected to grow faster 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. Happily, there were no major changes to revenue forecasts, with the business still expected to grow faster than the wider industry. Furthermore, the analysts also cut their price targets, suggesting that the latest news has led to greater pessimism about the intrinsic value of the business.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have estimates - from multiple Bikaji Foods International analysts - going out to 2027, and you can see them free on our platform here.

You can also see whether Bikaji Foods International is carrying too much debt, and whether its balance sheet is healthy, for free on our platform 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.