Glenmark Pharmaceuticals Limited Just Beat Revenue By 16%: Here's What Analysts Think Will Happen Next

As you might know, Glenmark Pharmaceuticals Limited (NSE:GLENMARK) recently reported its second-quarter numbers. Glenmark Pharmaceuticals beat revenue forecasts by a solid 16% to hit ₹60b. Statutory earnings per share came in at ₹37.11, in line with 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. We've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.

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Following the recent earnings report, the consensus from ten analysts covering Glenmark Pharmaceuticals is for revenues of ₹154.0b in 2026. This implies a perceptible 4.7% decline in revenue compared to the last 12 months. Per-share earnings are expected to shoot up 82% to ₹65.22. In the lead-up to this report, the analysts had been modelling revenues of ₹152.5b and earnings per share (EPS) of ₹97.85 in 2026. So there's definitely been a decline in sentiment after the latest results, noting the pretty serious reduction to new EPS forecasts.

Check out our latest analysis for Glenmark Pharmaceuticals

It might be a surprise to learn that the consensus price target fell 5.6% to ₹2,129, with the analysts clearly linking lower forecast earnings to the performance of the stock price. There's another way to think about price targets though, and that's to look at the range of price targets put forward by analysts, because a wide range of estimates could suggest a diverse view on possible outcomes for the business. The most optimistic Glenmark Pharmaceuticals analyst has a price target of ₹2,934 per share, while the most pessimistic values it at ₹1,500. Note the wide gap in analyst price targets? This implies to us that there is a fairly broad range of possible scenarios for the underlying business.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Glenmark Pharmaceuticals' past performance and to peers in the same industry. We would highlight that revenue is expected to reverse, with a forecast 9.1% annualised decline to the end of 2026. That is a notable change from historical growth of 5.4% over the last five years. By contrast, our data suggests that other companies (with analyst coverage) in the same industry are forecast to see their revenue grow 10% annually for the foreseeable future. So although its revenues are forecast to shrink, this cloud does not come with a silver lining - Glenmark Pharmaceuticals is expected to lag 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. Fortunately, the analysts also reconfirmed their revenue estimates, suggesting that it's tracking in line with expectations. Although our data does suggest that Glenmark Pharmaceuticals' revenue is expected to perform worse than the wider industry. Furthermore, the analysts also cut their price targets, suggesting that the latest news has led to greater pessimism about the intrinsic value of the business.

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 Glenmark Pharmaceuticals going out to 2028, and you can see them free on our platform here..

It is also worth noting that we have found 1 warning sign for Glenmark Pharmaceuticals that you need to take into consideration.

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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.