Results: ACC Limited Exceeded Expectations And The Consensus Has Updated Its Estimates

ACC Limited (NSE:ACC) just released its latest quarterly results and things are looking bullish. It was overall a positive result, with revenues beating expectations by 9.0% to hit ₹46b. ACC also reported a statutory profit of ₹10.52, which was an impressive 21% above what the analysts had forecast. 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. 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 ACC

After the latest results, the 21 analysts covering ACC are now predicting revenues of ₹208.5b in 2025. If met, this would reflect a modest 3.8% improvement in revenue compared to the last 12 months. Statutory earnings per share are expected to fall 17% to ₹90.57 in the same period. Yet prior to the latest earnings, the analysts had been anticipated revenues of ₹209.3b and earnings per share (EPS) of ₹100 in 2025. The analysts seem to have become a little more negative on the business after the latest results, given the small dip in their earnings per share numbers for next year.

It might be a surprise to learn that the consensus price target was broadly unchanged at ₹2,765, with the analysts clearly implying that the forecast decline in earnings is not expected to have much of an impact on valuation. Fixating on a single price target can be unwise though, since the consensus target is effectively the average of analyst price targets. As a result, some investors like to look at the range of estimates to see if there are any diverging opinions on the company's valuation. There are some variant perceptions on ACC, with the most bullish analyst valuing it at ₹3,400 and the most bearish at ₹2,100 per share. 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 ACC's past performance and to peers in the same industry. The period to the end of 2025 brings more of the same, according to the analysts, with revenue forecast to display 7.7% growth on an annualised basis. That is in line with its 7.3% annual growth over the past five years. Compare this with the broader industry (in aggregate), which analyst estimates suggest will see revenues fall 4.1% per year. So it's clear that not only is revenue growth expected to be maintained, but ACC is expected to grow meaningfully faster than the wider industry.

The Bottom Line

The most important thing to take away is that the analysts downgraded their earnings per share estimates, showing that there has been a clear decline in sentiment following these results. On the plus side, they made no changes to their revenue estimates - and they expect it to perform better than the wider industry. The consensus price target held steady at ₹2,765, with the latest estimates not enough to have an impact on their price targets.

Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. At Simply Wall St, we have a full range of analyst estimates for ACC going out to 2027, and you can see them free on our platform here..

Even so, be aware that ACC is showing 1 warning sign in our investment analysis , 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.