Marksans Pharma Limited (NSE:MARKSANS) Just Reported Earnings, And Analysts Cut Their Target Price

It's been a mediocre week for Marksans Pharma Limited (NSE:MARKSANS) shareholders, with the stock dropping 15% to ₹231 in the week since its latest quarterly results. Results overall were respectable, with statutory earnings of ₹6.92 per share roughly in line with what the analysts had forecast. Revenues of ₹6.8b came in 2.5% ahead of analyst predictions. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analysts have changed their mind on Marksans Pharma after the latest results.

See our latest analysis for Marksans Pharma

After the latest results, the three analysts covering Marksans Pharma are now predicting revenues of ₹30.3b in 2026. If met, this would reflect a sizeable 23% improvement in revenue compared to the last 12 months. Per-share earnings are expected to soar 32% to ₹10.70. In the lead-up to this report, the analysts had been modelling revenues of ₹30.8b and earnings per share (EPS) of ₹10.83 in 2026. So it's pretty clear that, although the analysts have updated their estimates, there's been no major change in expectations for the business following the latest results.

With no major changes to earnings forecasts, the consensus price target fell 9.4% to ₹299, suggesting that the analysts might have previously been hoping for an earnings upgrade. 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 Marksans Pharma analyst has a price target of ₹323 per share, while the most pessimistic values it at ₹265. This is a very narrow spread of estimates, implying either that Marksans Pharma is an easy company to value, or - more likely - the analysts are relying heavily on some key assumptions.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Marksans Pharma's past performance and to peers in the same industry. The period to the end of 2026 brings more of the same, according to the analysts, with revenue forecast to display 18% growth on an annualised basis. That is in line with its 16% annual growth over the past five years. Compare this with the broader industry, which analyst estimates (in aggregate) suggest will see revenues grow 11% annually. So although Marksans Pharma is expected to maintain its revenue growth rate, it's definitely expected to grow faster than the wider industry.

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. Fortunately, they also reconfirmed their revenue numbers, suggesting that it's tracking in line with expectations. Additionally, our data suggests that revenue is expected to grow faster 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.

Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. We have estimates - from multiple Marksans Pharma analysts - going out to 2027, and you can see them free on our platform here.

Another thing to consider is whether management and directors have been buying or selling stock recently. We provide an overview of all open market stock trades for the last twelve months on our 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.