C. E. Info Systems Limited Just Missed Earnings - But Analysts Have Updated Their Models

It's shaping up to be a tough period for C. E. Info Systems Limited (NSE:MAPMYINDIA), which a week ago released some disappointing quarterly results that could have a notable impact on how the market views the stock. Unfortunately, C. E. Info Systems delivered a serious earnings miss. Revenues of ₹1.0b were 12% below expectations, and statutory earnings per share of ₹5.52 missed estimates by 34%. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analysts have changed their mind on C. E. Info Systems after the latest results.

View our latest analysis for C. E. Info Systems

Taking into account the latest results, the current consensus from C. E. Info Systems' seven analysts is for revenues of ₹4.90b in 2025. This would reflect a huge 21% increase on its revenue over the past 12 months. Per-share earnings are expected to swell 17% to ₹28.90. Yet prior to the latest earnings, the analysts had been anticipated revenues of ₹5.01b and earnings per share (EPS) of ₹32.00 in 2025. The analysts are less bullish than they were before these results, given the reduced revenue forecasts and the small dip in earnings per share expectations.

The analysts made no major changes to their price target of ₹2,502, suggesting the downgrades are not expected to have a long-term impact on C. E. Info Systems' valuation. 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 C. E. Info Systems analyst has a price target of ₹3,060 per share, while the most pessimistic values it at ₹1,805. There are definitely some different views on the stock, but the range of estimates is not wide enough as to imply that the situation is unforecastable, in our view.

Of course, another way to look at these forecasts is to place them into context against the industry itself. The analysts are definitely expecting C. E. Info Systems' growth to accelerate, with the forecast 47% annualised growth to the end of 2025 ranking favourably alongside historical growth of 28% per annum over the past three years. Compare this with other companies in the same industry, which are forecast to grow their revenue 14% annually. It seems obvious that, while the growth outlook is brighter than the recent past, the analysts also expect C. E. Info Systems to grow faster than the wider 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. Regrettably, they also downgraded their revenue estimates, but the latest forecasts still imply the business will grow faster than the wider industry. The consensus price target held steady at ₹2,502, with the latest estimates not enough to have an impact on their price targets.

Following on from that line of thought, we think that the long-term prospects of the business are much more relevant than next year's earnings. At Simply Wall St, we have a full range of analyst estimates for C. E. Info Systems going out to 2027, and you can see them free on our platform here..

You still need to take note of risks, for example - C. E. Info Systems has 2 warning signs (and 1 which is potentially serious) we think 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.