Here's What Analysts Are Forecasting For Deepak Nitrite Limited (NSE:DEEPAKNTR) After Its Full-Year Results

Last week, you might have seen that Deepak Nitrite Limited (NSE:DEEPAKNTR) released its yearly result to the market. The early response was not positive, with shares down 4.6% to ₹2,335 in the past week. The result was positive overall - although revenues of ₹78b were in line with what the analysts predicted, Deepak Nitrite surprised by delivering a statutory profit of ₹59.45 per share, modestly greater than expected. Following the result, the analysts have updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analysts have changed their mind on Deepak Nitrite after the latest results.

Check out our latest analysis for Deepak Nitrite

Taking into account the latest results, the current consensus from Deepak Nitrite's 15 analysts is for revenues of ₹87.4b in 2025. This would reflect a notable 13% increase on its revenue over the past 12 months. Statutory earnings per share are predicted to expand 17% to ₹69.77. Before this earnings report, the analysts had been forecasting revenues of ₹85.9b and earnings per share (EPS) of ₹73.98 in 2025. The analysts seem to have become a little more negative on the business after the latest results, given the minor downgrade to their earnings per share numbers for next year.

The consensus price target held steady at ₹2,416, with the analysts seemingly voting that their lower forecast earnings are not expected to lead to a lower stock price in the foreseeable future. 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. The most optimistic Deepak Nitrite analyst has a price target of ₹2,957 per share, while the most pessimistic values it at ₹1,497. This is a fairly broad spread of estimates, suggesting that analysts are forecasting a wide range of possible outcomes for the business.

Looking at the bigger picture now, one of the ways we can make sense of these forecasts is to see how they measure up against both past performance and industry growth estimates. We would highlight that Deepak Nitrite's revenue growth is expected to slow, with the forecast 13% annualised growth rate until the end of 2025 being well below the historical 20% p.a. growth over the last five years. Compare this to the 318 other companies in this industry with analyst coverage, which are forecast to grow their revenue at 12% per year. So it's pretty clear that, while Deepak Nitrite's revenue growth is expected to slow, it's expected to grow roughly in line with the 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. Happily, there were no real changes to revenue forecasts, with the business still expected to grow in line with the overall industry. The consensus price target held steady at ₹2,416, with the latest estimates not enough to have an impact on their price targets.

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 Deepak Nitrite going out to 2027, and you can see them free on our platform here..

Plus, you should also learn about the 1 warning sign we've spotted with Deepak Nitrite .

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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.