Stock Analysis

Oracle Financial Services Software Limited (NSE:OFSS) Just Reported, And Analysts Assigned A ₹10,000 Price Target

NSEI:OFSS
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It's been a good week for Oracle Financial Services Software Limited (NSE:OFSS) shareholders, because the company has just released its latest annual results, and the shares gained 8.0% to ₹8,838. Oracle Financial Services Software reported in line with analyst predictions, delivering revenues of ₹68b and statutory earnings per share of ₹273, suggesting the business is executing well and in line with its plan. The analyst 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 thought readers would find it interesting to see the analyst latest (statutory) post-earnings forecasts for next year.

We've discovered 1 warning sign about Oracle Financial Services Software. View them for free.
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NSEI:OFSS Earnings and Revenue Growth April 30th 2025

Following the latest results, Oracle Financial Services Software's one analyst are now forecasting revenues of ₹74.9b in 2026. This would be a decent 9.4% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to climb 13% to ₹309. Yet prior to the latest earnings, the analyst had been anticipated revenues of ₹76.2b and earnings per share (EPS) of ₹309 in 2026. The consensus analyst doesn'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 Oracle Financial Services Software

The consensus price target fell 12% to ₹10,000, suggesting that the analyst might have been a bit enthusiastic in their previous valuation - or they were expecting the company to provide stronger guidance in the annual results.

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 Oracle Financial Services Software's rate of growth is expected to accelerate meaningfully, with the forecast 9.4% annualised revenue growth to the end of 2026 noticeably faster than its historical growth of 7.6% p.a. 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 14% per year. So it's clear that despite the acceleration in growth, Oracle Financial Services Software is expected to grow meaningfully slower than the industry average.

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The Bottom Line

The most obvious conclusion is that there's been no major change in the business' prospects in recent times, with the analyst holding their earnings forecasts steady, in line with previous estimates. On the plus side, there were no major changes to revenue estimates; although forecasts imply they will perform worse than the wider industry. Furthermore, the analyst 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 analyst estimates for Oracle Financial Services Software going out as far as 2027, and you can see them free on our platform here.

You still need to take note of risks, for example - Oracle Financial Services Software has 1 warning sign we think you should be aware of.

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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.

About NSEI:OFSS

Oracle Financial Services Software

Provides information technology (IT) solutions and business processing services to the financial services industry worldwide.

Flawless balance sheet with acceptable track record.

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