Birla Corporation Limited Beat Analyst Estimates: See What The Consensus Is Forecasting For This Year

Birla Corporation Limited (NSE:BIRLACORPN) just released its annual report and things are looking bullish. The company beat forecasts, with revenue of ₹93b, some 2.8% above estimates, and statutory earnings per share (EPS) coming in at ₹38.34, 58% ahead of expectations. 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.

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Taking into account the latest results, the consensus forecast from Birla's 15 analysts is for revenues of ₹99.4b in 2026. This reflects a credible 6.8% improvement in revenue compared to the last 12 months. Per-share earnings are expected to jump 85% to ₹70.88. Before this earnings report, the analysts had been forecasting revenues of ₹98.8b and earnings per share (EPS) of ₹56.93 in 2026. Although the revenue estimates have not really changed, we can see there's been a great increase in earnings per share expectations, suggesting that the analysts have become more bullish after the latest result.

See our latest analysis for Birla

The consensus price target rose 7.9% to ₹1,524, suggesting that higher earnings estimates flow through to the stock's valuation as well. 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 Birla, with the most bullish analyst valuing it at ₹1,618 and the most bearish at ₹1,299 per share. The narrow spread of estimates could suggest that the business' future is relatively easy to value, or thatthe analysts have a strong view on its prospects.

Taking a look at the bigger picture now, one of the ways we can understand these forecasts is to see how they compare to both past performance and industry growth estimates. We would highlight that Birla's revenue growth is expected to slow, with the forecast 6.8% annualised growth rate until the end of 2026 being well below the historical 8.8% p.a. growth over the last five years. Juxtapose this against the other companies in the industry with analyst coverage, which are forecast to grow their revenues (in aggregate) 0.9% per year. Even after the forecast slowdown in growth, it seems obvious that Birla is also expected to grow faster than the wider 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 Birla following these results. Fortunately, they also reconfirmed their revenue numbers, suggesting that it's tracking in line with expectations. Additionally, our data suggests that revenue is expected to grow faster than the wider industry. We note an upgrade to the price target, suggesting that the analysts believes the intrinsic value of the business is likely to improve over time.

Following on from that line of thought, we think that the long-term prospects of the business are much more relevant than next year's earnings. At Simply Wall St, we have a full range of analyst estimates for Birla going out to 2028, and you can see them free on our platform here..

Even so, be aware that Birla 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.