Tata Consumer Products Limited Just Missed Earnings - But Analysts Have Updated Their Models

Last week saw the newest interim earnings release from Tata Consumer Products Limited (NSE:TATACONSUM), an important milestone in the company's journey to build a stronger business. Results were mixed, with revenues of ₹97b exceeding expectations, even as earnings per share (EPS) came up short. Statutory earnings were ₹4.09 per share, -6.4% below whatthe analysts had forecast. Following the result, the analysts have updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.

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Taking into account the latest results, the consensus forecast from Tata Consumer Products' 26 analysts is for revenues of ₹198.6b in 2026. This reflects a satisfactory 5.6% improvement in revenue compared to the last 12 months. Per-share earnings are expected to soar 22% to ₹16.76. Before this earnings report, the analysts had been forecasting revenues of ₹195.4b and earnings per share (EPS) of ₹16.85 in 2026. So it's pretty clear that, although the analysts have updated their estimates, there's been no major change in expectations for the business following the latest results.

Check out our latest analysis for Tata Consumer Products

There were no changes to revenue or earnings estimates or the price target of ₹1,240, suggesting that the company has met expectations in its recent result. 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. The most optimistic Tata Consumer Products analyst has a price target of ₹1,470 per share, while the most pessimistic values it at ₹1,097. There are definitely some different views on the stock, but the range of estimates is not wide enough as to imply that the situation is unforecastable, in our view.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Tata Consumer Products' past performance and to peers in the same industry. The period to the end of 2026 brings more of the same, according to the analysts, with revenue forecast to display 12% growth on an annualised basis. That is in line with its 11% annual growth over the past five years. Compare this with the broader industry, which analyst estimates (in aggregate) suggest will see revenues grow 9.8% annually. It's clear that while Tata Consumer Products' revenue growth is expected to continue on its current trajectory, it's only expected to grow in line with the industry itself.

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. They also reconfirmed their revenue estimates, with the company predicted to grow at about the same rate as the wider industry. The consensus price target held steady at ₹1,240, with the latest estimates not enough to have an impact on their price targets.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have forecasts for Tata Consumer Products going out to 2028, and you can see them free on our platform here.

We also provide an overview of the Tata Consumer Products Board and CEO remuneration and length of tenure at the company, and whether insiders have been buying the stock, 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.