Zydus Lifesciences Limited Just Beat Analyst Forecasts, And Analysts Have Been Updating Their Predictions

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It's been a good week for Zydus Lifesciences Limited (NSE:ZYDUSLIFE) shareholders, because the company has just released its latest quarterly results, and the shares gained 4.7% to ₹989. The result was positive overall - although revenues of ₹66b were in line with what the analysts predicted, Zydus Lifesciences surprised by delivering a statutory profit of ₹14.58 per share, modestly greater than expected. 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 Zydus Lifesciences after the latest results.

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Taking into account the latest results, the current consensus from Zydus Lifesciences' 29 analysts is for revenues of ₹252.0b in 2026. This would reflect a reasonable 6.7% increase on its revenue over the past 12 months. Statutory per-share earnings are expected to be ₹45.03, roughly flat on the last 12 months. Yet prior to the latest earnings, the analysts had been anticipated revenues of ₹250.3b and earnings per share (EPS) of ₹44.85 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 Zydus Lifesciences

It will come as no surprise then, to learn that the consensus price target is largely unchanged at ₹1,000. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. The most optimistic Zydus Lifesciences analyst has a price target of ₹1,150 per share, while the most pessimistic values it at ₹850. 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.

One way to get more context on these forecasts is to look at how they compare to both past performance, and how other companies in the same industry are performing. The period to the end of 2026 brings more of the same, according to the analysts, with revenue forecast to display 9.1% growth on an annualised basis. That is in line with its 10% annual growth over the past five years. Juxtapose this against our data, which suggests that other companies (with analyst coverage) in the industry are forecast to see their revenues grow 10% per year. It's clear that while Zydus Lifesciences' revenue growth is expected to continue on its current trajectory, it's only expected to grow in line with the industry itself.

The Bottom Line

The most obvious conclusion is that there's been no major change in the business' prospects in recent times, with the analysts holding their earnings forecasts steady, in line with previous estimates. They also reconfirmed their revenue estimates, with the company predicted to grow at about the same rate as the wider industry. The consensus price target held steady at ₹1,000, 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. At Simply Wall St, we have a full range of analyst estimates for Zydus Lifesciences going out to 2028, and you can see them free on our platform here..

You should always think about risks though. Case in point, we've spotted 2 warning signs for Zydus Lifesciences you should be aware of, and 1 of them is potentially serious.

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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.