Power Grid Corporation of India Limited (NSE:POWERGRID) Annual Results Just Came Out: Here's What Analysts Are Forecasting For This Year

Shareholders might have noticed that Power Grid Corporation of India Limited (NSE:POWERGRID) filed its full-year result this time last week. The early response was not positive, with shares down 2.9% to ₹291 in the past week. Revenues of ₹458b were in line with forecasts, although statutory earnings per share (EPS) came in below expectations at ₹16.39, missing estimates by 3.8%. The analysts 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. So we gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.

We've discovered 2 warning signs about Power Grid Corporation of India. View them for free.

Following the latest results, Power Grid Corporation of India's eleven analysts are now forecasting revenues of ₹481.5b in 2026. This would be a reasonable 5.1% improvement in revenue compared to the last 12 months. Per-share earnings are expected to rise 6.6% to ₹17.78. In the lead-up to this report, the analysts had been modelling revenues of ₹493.9b and earnings per share (EPS) of ₹18.43 in 2026. 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.

Check out our latest analysis for Power Grid Corporation of India

The analysts made no major changes to their price target of ₹325, suggesting the downgrades are not expected to have a long-term impact on Power Grid Corporation of India's valuation. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. There are some variant perceptions on Power Grid Corporation of India, with the most bullish analyst valuing it at ₹396 and the most bearish at ₹242 per share. This shows there is still a bit of diversity in estimates, but analysts don't appear to be totally split on the stock as though it might be a success or failure situation.

Another way we can view these estimates is in the context of the bigger picture, such as how the forecasts stack up against past performance, and whether forecasts are more or less bullish relative to other companies in the industry. The period to the end of 2026 brings more of the same, according to the analysts, with revenue forecast to display 5.1% growth on an annualised basis. That is in line with its 4.4% annual growth over the past five years. Compare this with the broader industry (in aggregate), which analyst estimates suggest will see revenues grow 9.6% annually. So it's pretty clear that Power Grid Corporation of India is expected to grow slower than similar companies in the same industry.

The Bottom Line

The biggest concern is that the analysts reduced their earnings per share estimates, suggesting business headwinds could lay ahead for Power Grid Corporation of India. On the negative side, they also downgraded their revenue estimates, and forecasts imply they will perform worse than the wider industry. The consensus price target held steady at ₹325, 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 Power Grid Corporation of India going out to 2028, and you can see them free on our platform here..

We don't want to rain on the parade too much, but we did also find 2 warning signs for Power Grid Corporation of India that you need to be mindful 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.