Stock Analysis

Jupiter Life Line Hospitals Limited (NSE:JLHL) Just Released Its First-Quarter Earnings: Here's What Analysts Think

NSEI:JLHL
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Jupiter Life Line Hospitals Limited (NSE:JLHL) last week reported its latest first-quarter results, which makes it a good time for investors to dive in and see if the business is performing in line with expectations. Jupiter Life Line Hospitals reported in line with analyst predictions, delivering revenues of ₹2.9b and statutory earnings per share of ₹28.65, suggesting the business is executing well and in line with its plan. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. So we gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.

View our latest analysis for Jupiter Life Line Hospitals

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NSEI:JLHL Earnings and Revenue Growth August 14th 2024

Taking into account the latest results, the current consensus from Jupiter Life Line Hospitals' four analysts is for revenues of ₹12.6b in 2025. This would reflect a meaningful 10% increase on its revenue over the past 12 months. Statutory earnings per share are predicted to bounce 27% to ₹32.30. In the lead-up to this report, the analysts had been modelling revenues of ₹12.5b and earnings per share (EPS) of ₹32.63 in 2025. 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.

There were no changes to revenue or earnings estimates or the price target of ₹1,530, suggesting that the company has met expectations in its recent result. The consensus price target is just an average of individual analyst targets, so - it could be handy to see how wide the range of underlying estimates is. There are some variant perceptions on Jupiter Life Line Hospitals, with the most bullish analyst valuing it at ₹1,660 and the most bearish at ₹1,450 per share. With such a narrow range of valuations, the analysts apparently share similar views on what they think the business is worth.

Another way we can view these estimates is in the context of the bigger picture, such as how the forecasts stack up against past performance, and whether forecasts are more or less bullish relative to other companies in the industry. We would highlight that Jupiter Life Line Hospitals' revenue growth is expected to slow, with the forecast 14% annualised growth rate until the end of 2025 being well below the historical 20% growth over the last year. By way of comparison, the other companies in this industry with analyst coverage are forecast to grow their revenue at 17% per year. Factoring in the forecast slowdown in growth, it seems obvious that Jupiter Life Line Hospitals is also expected to grow slower than other industry participants.

The Bottom Line

The most important thing to take away is that there's been no major change in sentiment, with the analysts reconfirming that the business is performing in line with their previous earnings per share estimates. On the plus side, there were no major changes to revenue estimates; although forecasts imply they will perform worse than the wider industry. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.

With that in mind, we wouldn't be too quick to come to a conclusion on Jupiter Life Line Hospitals. Long-term earnings power is much more important than next year's profits. At Simply Wall St, we have a full range of analyst estimates for Jupiter Life Line Hospitals going out to 2027, and you can see them free on our platform here..

You can also see our analysis of Jupiter Life Line Hospitals' 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.