Artemis Medicare Services Limited Recorded A 5.3% Miss On Revenue: Analysts Are Revisiting Their Models

Artemis Medicare Services Limited (NSE:ARTEMISMED) last week reported its latest second-quarter results, which makes it a good time for investors to dive in and see if the business is performing in line with expectations. Revenues came in 5.3% below expectations, at ₹2.4b. Statutory earnings per share were relatively better off, with a per-share profit of ₹3.53 being roughly in line with analyst estimates. 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 Artemis Medicare Services after the latest results.

See our latest analysis for Artemis Medicare Services

Following the latest results, Artemis Medicare Services' twin analysts are now forecasting revenues of ₹11.0b in 2025. This would be a solid 19% improvement in revenue compared to the last 12 months. Per-share earnings are expected to jump 51% to ₹7.10. Before this earnings report, the analysts had been forecasting revenues of ₹10.2b and earnings per share (EPS) of ₹4.75 in 2025. There's been a pretty noticeable increase in sentiment, with the analysts upgrading revenues and making a considerable lift to earnings per share in particular.

Despite these upgrades,the analysts have not made any major changes to their price target of ₹321, suggesting that the higher estimates are not likely to have a long term impact on what the stock is worth.

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. It's clear from the latest estimates that Artemis Medicare Services' rate of growth is expected to accelerate meaningfully, with the forecast 43% annualised revenue growth to the end of 2025 noticeably faster than its historical growth of 16% p.a. over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 19% annually. Factoring in the forecast acceleration in revenue, it's pretty clear that Artemis Medicare Services is expected to grow much faster than its 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 Artemis Medicare Services following these results. Happily, they also upgraded their revenue estimates, and are forecasting them to grow faster than the wider industry. The consensus price target held steady at ₹321, 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 analyst estimates for Artemis Medicare Services going out as far as 2027, and you can see them free on our platform here.

You can also see our analysis of Artemis Medicare Services' Board and CEO remuneration and experience, and whether company insiders have been buying stock.

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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.