Analyst Estimates: Here's What Brokers Think Of Transport Corporation of India Limited (NSE:TCI) After Its Yearly Report

Investors in Transport Corporation of India Limited (NSE:TCI) had a good week, as its shares rose 4.8% to close at ₹1,135 following the release of its full-year results. The result was positive overall - although revenues of ₹45b were in line with what the analysts predicted, Transport Corporation of India surprised by delivering a statutory profit of ₹53.32 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. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year.

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Taking into account the latest results, the most recent consensus for Transport Corporation of India from seven analysts is for revenues of ₹50.9b in 2026. If met, it would imply a decent 12% increase on its revenue over the past 12 months. Statutory earnings per share are predicted to increase 6.9% to ₹57.55. Yet prior to the latest earnings, the analysts had been anticipated revenues of ₹50.9b and earnings per share (EPS) of ₹59.53 in 2026. So it looks like there's been a small decline in overall sentiment after the recent results - there's been no major change to revenue estimates, but the analysts did make a small dip in their earnings per share forecasts.

View our latest analysis for Transport Corporation of India

It might be a surprise to learn that the consensus price target was broadly unchanged at ₹1,284, with the analysts clearly implying that the forecast decline in earnings is not expected to have much of an impact on valuation. Fixating on a single price target can be unwise though, since the consensus target is effectively the average of analyst price targets. As a result, some investors like to look at the range of estimates to see if there are any diverging opinions on the company's valuation. Currently, the most bullish analyst values Transport Corporation of India at ₹1,400 per share, while the most bearish prices it at ₹1,043. Even so, with a relatively close grouping of estimates, it looks like the analysts are quite confident in their valuations, suggesting Transport Corporation of India is an easy business to forecast or the the analysts are all using similar assumptions.

Of course, another way to look at these forecasts is to place them into context against the industry itself. The period to the end of 2026 brings more of the same, according to the analysts, with revenue forecast to display 12% growth on an annualised basis. That is in line with its 12% 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 12% per year. So although Transport Corporation of India is expected to maintain its revenue growth rate, it's only growing at about the rate of the wider industry.

The Bottom Line

The biggest concern is that the analysts reduced their earnings per share estimates, suggesting business headwinds could lay ahead for Transport Corporation of India. 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 ₹1,284, 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 Transport Corporation of India going out to 2027, and you can see them free on our platform here..

However, before you get too enthused, we've discovered 2 warning signs for Transport Corporation of India (1 is potentially serious!) that 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.