Orchid Pharma Limited Earnings Missed Analyst Estimates: Here's What Analysts Are Forecasting Now

Last week, you might have seen that Orchid Pharma Limited (NSE:ORCHPHARMA) released its quarterly result to the market. The early response was not positive, with shares down 3.8% to ₹798 in the past week. Revenues of ₹1.9b beat expectations by 5.3%. Unfortunately statutory earnings per share (EPS) fell well short of the mark, turning in a loss of ₹1.13 compared to previous analyst expectations of a profit. 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've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.

Trump has pledged to "unleash" American oil and gas and these 15 US stocks have developments that are poised to benefit.

After the latest results, the three analysts covering Orchid Pharma are now predicting revenues of ₹12.6b in 2026. If met, this would reflect a substantial 52% improvement in revenue compared to the last 12 months. Statutory earnings per share are expected to decline 20% to ₹8.30 in the same period. Yet prior to the latest earnings, the analysts had been anticipated revenues of ₹11.6b and earnings per share (EPS) of ₹15.35 in 2026. So it's pretty clear the analysts have mixed opinions on Orchid Pharma after the latest results; even though they upped their revenue numbers, it came at the cost of a large cut to per-share earnings expectations.

Check out our latest analysis for Orchid Pharma

The consensus price target was unchanged at ₹967, suggesting the business is performing roughly in line with expectations, despite some adjustments to profit and revenue forecasts. 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. The most optimistic Orchid Pharma analyst has a price target of ₹1,055 per share, while the most pessimistic values it at ₹900. With such a narrow range of valuations, the analysts apparently share similar views on what they think the business is worth.

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 analysts are definitely expecting Orchid Pharma's growth to accelerate, with the forecast 130% annualised growth to the end of 2026 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 11% per year. Factoring in the forecast acceleration in revenue, it's pretty clear that Orchid Pharma is expected to grow much 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. Pleasantly, they also upgraded their revenue estimates, and their forecasts suggest the business is expected to grow faster than the wider industry. The consensus price target held steady at ₹967, with the latest estimates not enough to have an impact on their price targets.

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 Orchid Pharma analysts - going out to 2027, and you can see them free on our platform here.

And what about risks? Every company has them, and we've spotted 2 warning signs for Orchid Pharma (of which 1 shouldn't be ignored!) you should know about.

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.