Industry Analysts Just Upgraded Their PCBL Limited (NSE:PCBL) Revenue Forecasts By 20%

Shareholders in PCBL Limited (NSE:PCBL) may be thrilled to learn that the analysts have just delivered a major upgrade to their near-term forecasts. The analysts have sharply increased their revenue numbers, with a view that PCBL will make substantially more sales than they'd previously expected.

Following the upgrade, the latest consensus from PCBL's five analysts is for revenues of ₹85b in 2025, which would reflect a substantial 31% improvement in sales compared to the last 12 months. Statutory earnings per share are presumed to ascend 13% to ₹14.72. Prior to this update, the analysts had been forecasting revenues of ₹71b and earnings per share (EPS) of ₹14.77 in 2025. There's clearly been a surge in bullishness around the company's sales pipeline, even if there's no real change in earnings per share forecasts.

Check out our latest analysis for PCBL

It may not be a surprise to see that the analysts have reconfirmed their price target of ₹323, implying that the uplift in sales is not expected to greatly contribute to PCBL's valuation in the near term.

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. The analysts are definitely expecting PCBL's growth to accelerate, with the forecast 31% annualised growth to the end of 2025 ranking favourably alongside historical growth of 16% per annum 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 12% per year. Factoring in the forecast acceleration in revenue, it's pretty clear that PCBL is expected to grow much faster than its industry.

The Bottom Line

The most obvious conclusion from this consensus update is that there's been no major change in the business' prospects in recent times, with analysts holding earnings per share steady, in line with previous estimates. Fortunately, analysts also upgraded their revenue estimates, and our data indicates sales are expected to perform better than the wider market. Seeing the dramatic upgrade to this year's forecasts, it might be time to take another look at PCBL.

Even so, the longer term trajectory of the business is much more important for the value creation of shareholders. We have estimates - from multiple PCBL analysts - going out to 2027, and you can see them free on our platform here.

We also provide an overview of the PCBL Board and CEO remuneration and length of tenure at the company, and whether insiders have been buying the stock, here.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

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.