Godrej Agrovet Limited Just Missed EPS By 10%: Here's What Analysts Think Will Happen Next

The analysts might have been a bit too bullish on Godrej Agrovet Limited (NSE:GODREJAGRO), given that the company fell short of expectations when it released its quarterly results last week. It wasn't a great result overall - while revenue fell marginally short of analyst estimates at ₹24b, statutory earnings missed forecasts by 10%, coming in at just ₹5.84 per share. 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 Godrej Agrovet after the latest results.

See our latest analysis for Godrej Agrovet

Following the latest results, Godrej Agrovet's six analysts are now forecasting revenues of ₹99.4b in 2026. This would be a modest 7.3% improvement in revenue compared to the last 12 months. Per-share earnings are expected to swell 19% to ₹24.56. Before this earnings report, the analysts had been forecasting revenues of ₹115.2b and earnings per share (EPS) of ₹25.53 in 2026. It looks like sentiment has fallen somewhat in the aftermath of these results, with a substantial drop in revenue estimates and a small dip in earnings per share numbers as well.

The analysts made no major changes to their price target of ₹819, suggesting the downgrades are not expected to have a long-term impact on Godrej Agrovet's valuation. That's not the only conclusion we can draw from this data however, as some investors also like to consider the spread in estimates when evaluating analyst price targets. There are some variant perceptions on Godrej Agrovet, with the most bullish analyst valuing it at ₹940 and the most bearish at ₹735 per share. With such a narrow range of valuations, the analysts apparently share similar views on what they think the business is worth.

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 would highlight that Godrej Agrovet's revenue growth is expected to slow, with the forecast 4.8% annualised growth rate until the end of 2026 being well below the historical 9.9% p.a. growth over the last five years. Compare this against other companies (with analyst forecasts) in the industry, which are in aggregate expected to see revenue growth of 11% annually. Factoring in the forecast slowdown in growth, it seems obvious that Godrej Agrovet is also expected to grow slower than other industry participants.

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. Unfortunately, they also downgraded their revenue estimates, and our data indicates underperformance compared to the wider industry. Even so, earnings per share are more important to the intrinsic value of the business. The consensus price target held steady at ₹819, with the latest estimates not enough to have an impact on their price targets.

Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. We have estimates - from multiple Godrej Agrovet analysts - going out to 2027, and you can see them free on our platform here.

Plus, you should also learn about the 2 warning signs we've spotted with Godrej Agrovet .

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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.