Granules India Limited (NSE:GRANULES) Just Beat Earnings: Here's What Analysts Think Will Happen Next

Granules India Limited (NSE:GRANULES) just released its quarterly report and things are looking bullish. Results were good overall, with revenues beating analyst predictions by 5.4% to hit ₹13b. Statutory earnings per share (EPS) came in at ₹5.38, some 5.5% above whatthe analysts had expected. The analysts typically update their forecasts at each earnings report, and we can judge from their estimates whether their view of the company has changed or if there are any new concerns to be aware of. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.

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After the latest results, the seven analysts covering Granules India are now predicting revenues of ₹51.4b in 2026. If met, this would reflect an okay 5.9% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to rise 6.9% to ₹22.60. Yet prior to the latest earnings, the analysts had been anticipated revenues of ₹50.7b and earnings per share (EPS) of ₹22.94 in 2026. The consensus analysts don't seem to have seen anything in these results that would have changed their view on the business, given there's been no major change to their estimates.

See our latest analysis for Granules India

The consensus price target rose 7.5% to ₹621despite there being no meaningful change to earnings estimates. It could be that the analystsare reflecting the predictability of Granules India's earnings by assigning a price premium. 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 Granules India, with the most bullish analyst valuing it at ₹702 and the most bearish at ₹534 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.

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. It's clear from the latest estimates that Granules India's rate of growth is expected to accelerate meaningfully, with the forecast 12% annualised revenue growth to the end of 2026 noticeably faster than its historical growth of 8.7% p.a. over the past five years. Other similar companies in the industry (with analyst coverage) are also forecast to grow their revenue at 11% per year. Granules India is expected to grow at about the same rate as its industry, so it's not clear that we can draw any conclusions from its growth relative to competitors.

The Bottom Line

The most important thing to take away is that there's been no major change in sentiment, with the analysts reconfirming that the business is performing in line with their previous earnings per share estimates. They also reconfirmed their revenue estimates, with the company predicted to grow at about the same rate as the wider industry. There was also a nice increase in the price target, with the analysts clearly feeling that the intrinsic value of the business is improving.

With that in mind, we wouldn't be too quick to come to a conclusion on Granules India. Long-term earnings power is much more important than next year's profits. At Simply Wall St, we have a full range of analyst estimates for Granules India going out to 2028, and you can see them free on our platform here..

It might also be worth considering whether Granules India's debt load is appropriate, using our debt analysis tools on the Simply Wall St platform, here.

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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.