Jubilant Ingrevia Limited Just Missed EPS By 13%: Here's What Analysts Think Will Happen Next

Last week, you might have seen that Jubilant Ingrevia Limited (NSE:JUBLINGREA) released its quarterly result to the market. The early response was not positive, with shares down 7.1% to ₹432 in the past week. It was not a great result overall. Although revenues beat expectations, hitting ₹9.7b, statutory earnings missed analyst forecasts by 13%, coming in at just ₹2.43 per share. 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. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.

Check out our latest analysis for Jubilant Ingrevia

After the latest results, the three analysts covering Jubilant Ingrevia are now predicting revenues of ₹52.1b in 2025. If met, this would reflect a sizeable 24% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to leap 74% to ₹22.50. Before this earnings report, the analysts had been forecasting revenues of ₹53.8b and earnings per share (EPS) of ₹24.27 in 2025. The analysts are less bullish than they were before these results, given the reduced revenue forecasts and the minor downgrade to earnings per share expectations.

Despite the cuts to forecast earnings, there was no real change to the ₹536 price target, showing that the analysts don't think the changes have a meaningful impact on its intrinsic value. 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. There are some variant perceptions on Jubilant Ingrevia, with the most bullish analyst valuing it at ₹600 and the most bearish at ₹433 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.

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. The period to the end of 2025 brings more of the same, according to the analysts, with revenue forecast to display 19% growth on an annualised basis. That is in line with its 23% annual growth over the past three years. Compare this with the broader industry, which analyst estimates (in aggregate) suggest will see revenues grow 12% annually. So it's pretty clear that Jubilant Ingrevia is forecast to grow substantially faster than its 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. Regrettably, they also downgraded their revenue estimates, but the latest forecasts still imply the business will grow faster than the wider industry. The consensus price target held steady at ₹536, with the latest estimates not enough to have an impact on their price targets.

With that in mind, we wouldn't be too quick to come to a conclusion on Jubilant Ingrevia. Long-term earnings power is much more important than next year's profits. We have forecasts for Jubilant Ingrevia going out to 2026, and you can see them free on our platform here.

You should always think about risks though. Case in point, we've spotted 1 warning sign for Jubilant Ingrevia you should be aware of.

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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.