Max Healthcare Institute Limited Just Missed Earnings - But Analysts Have Updated Their Models

As you might know, Max Healthcare Institute Limited (NSE:MAXHEALTH) last week released its latest quarterly, and things did not turn out so great for shareholders. Unfortunately, Max Healthcare Institute delivered a serious earnings miss. Revenues of ₹19b were 14% below expectations, and statutory earnings per share of ₹2.44 missed estimates by 33%. 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. We've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.

Check out our latest analysis for Max Healthcare Institute

Following the latest results, Max Healthcare Institute's 20 analysts are now forecasting revenues of ₹106.6b in 2026. This would be a huge 63% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to jump 88% to ₹19.49. In the lead-up to this report, the analysts had been modelling revenues of ₹106.2b and earnings per share (EPS) of ₹19.77 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.

It will come as no surprise then, to learn that the consensus price target is largely unchanged at ₹1,143. 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. Currently, the most bullish analyst values Max Healthcare Institute at ₹1,389 per share, while the most bearish prices it at ₹614. This is a fairly broad spread of estimates, suggesting that analysts are forecasting a wide range of possible outcomes for the business.

One way to get more context on these forecasts is to look at how they compare to both past performance, and how other companies in the same industry are performing. It's clear from the latest estimates that Max Healthcare Institute's rate of growth is expected to accelerate meaningfully, with the forecast 48% annualised revenue growth to the end of 2026 noticeably faster than its historical growth of 26% p.a. over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 18% per year. It seems obvious that, while the growth outlook is brighter than the recent past, the analysts also expect Max Healthcare Institute to grow faster than the wider industry.

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. Happily, there were no major changes to revenue forecasts, with the business still expected to grow faster 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 said, the long-term trajectory of the company's earnings is a lot more important than next year. We have forecasts for Max Healthcare Institute going out to 2027, and you can see them free on our platform here.

It might also be worth considering whether Max Healthcare Institute's debt load is appropriate, using our debt analysis tools on the Simply Wall St platform, 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.