Revenue Beat: Jupiter Life Line Hospitals Limited Exceeded Revenue Forecasts By 5.2% And Analysts Are Updating Their Estimates

Shareholders of Jupiter Life Line Hospitals Limited (NSE:JLHL) will be pleased this week, given that the stock price is up 12% to ₹1,542 following its latest second-quarter results. It was a workmanlike result, with revenues of ₹3.2b coming in 5.2% ahead of expectations, and statutory earnings per share of ₹28.65, in line with analyst appraisals. 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. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year.

View our latest analysis for Jupiter Life Line Hospitals

Taking into account the latest results, the most recent consensus for Jupiter Life Line Hospitals from five analysts is for revenues of ₹12.8b in 2025. If met, it would imply a satisfactory 6.0% increase on its revenue over the past 12 months. Statutory earnings per share are predicted to grow 12% to ₹31.74. In the lead-up to this report, the analysts had been modelling revenues of ₹12.7b and earnings per share (EPS) of ₹32.46 in 2025. 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 small dip in their earnings per share forecasts.

Despite cutting their earnings forecasts,the analysts have lifted their price target 10% to ₹1,606, suggesting that these impacts are not expected to weigh on the stock's value in the long term. 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. Currently, the most bullish analyst values Jupiter Life Line Hospitals at ₹1,825 per share, while the most bearish prices it at ₹1,450. This is a very narrow spread of estimates, implying either that Jupiter Life Line Hospitals is an easy company to value, or - more likely - the analysts are relying heavily on some key assumptions.

Of course, another way to look at these forecasts is to place them into context against the industry itself. It's pretty clear that there is an expectation that Jupiter Life Line Hospitals' revenue growth will slow down substantially, with revenues to the end of 2025 expected to display 12% growth on an annualised basis. This is compared to a historical growth rate of 22% over the past year. Compare this against other companies (with analyst forecasts) in the industry, which are in aggregate expected to see revenue growth of 19% annually. So it's pretty clear that, while revenue growth is expected to slow down, the wider industry is also expected to grow faster than Jupiter Life Line Hospitals.

The Bottom Line

The biggest concern is that the analysts reduced their earnings per share estimates, suggesting business headwinds could lay ahead for Jupiter Life Line Hospitals. 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 also a nice increase in the price target, with the analysts clearly feeling that the intrinsic value of the business is improving.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have forecasts for Jupiter Life Line Hospitals going out to 2027, and you can see them free on our platform here.

And what about risks? Every company has them, and we've spotted 1 warning sign for Jupiter Life Line Hospitals you should know about.

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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.