Godrej Properties Limited Just Beat EPS By 27%: Here's What Analysts Think Will Happen Next

Last week, you might have seen that Godrej Properties Limited (NSE:GODREJPROP) released its second-quarter result to the market. The early response was not positive, with shares down 6.4% to ₹2,143 in the past week. Godrej Properties' revenues suffered a catastrophic miss, falling 36% short of forecasts, at ₹7.4b. Statutory earnings per share however performed much better, hitting ₹13.45, 27% above forecast. Following the result, the analysts have updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analysts have changed their mind on Godrej Properties after the latest results.

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Following the latest results, Godrej Properties' 17 analysts are now forecasting revenues of ₹64.6b in 2026. This would be a sizeable 51% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to soar 29% to ₹66.50. Yet prior to the latest earnings, the analysts had been anticipated revenues of ₹62.1b and earnings per share (EPS) of ₹59.97 in 2026. So it seems there's been a definite increase in optimism about Godrej Properties' future following the latest results, with a nice gain to the earnings per share forecasts in particular.

View our latest analysis for Godrej Properties

Despite these upgrades,the analysts have not made any major changes to their price target of ₹2,649, suggesting that the higher estimates are not likely to have a long term impact on what the stock is worth. 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 Godrej Properties analyst has a price target of ₹3,500 per share, while the most pessimistic values it at ₹1,750. 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.

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 Godrej Properties' rate of growth is expected to accelerate meaningfully, with the forecast 129% annualised revenue growth to the end of 2026 noticeably faster than its historical growth of 31% p.a. over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 23% annually. It seems obvious that, while the growth outlook is brighter than the recent past, the analysts also expect Godrej Properties to grow faster than the wider industry.

The Bottom Line

The biggest takeaway for us is the consensus earnings per share upgrade, which suggests a clear improvement in sentiment around Godrej Properties' earnings potential next year. Happily, they also upgraded their revenue estimates, and are forecasting them to grow faster than the wider industry. The consensus price target held steady at ₹2,649, with the latest estimates not enough to have an impact on their price targets.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have forecasts for Godrej Properties going out to 2028, and you can see them free on our platform here.

And what about risks? Every company has them, and we've spotted 1 warning sign for Godrej Properties you should know about.

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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.