Fuji Electric Co., Ltd. Beat Analyst Estimates: See What The Consensus Is Forecasting For This Year

Fuji Electric Co., Ltd. (TSE:6504) last week reported its latest full-year results, which makes it a good time for investors to dive in and see if the business is performing in line with expectations. The result was positive overall - although revenues of JP¥1.1t were in line with what the analysts predicted, Fuji Electric surprised by delivering a statutory profit of JP¥528 per share, modestly greater than expected. 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. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year.

Check out our latest analysis for Fuji Electric

After the latest results, the twelve analysts covering Fuji Electric are now predicting revenues of JP¥1.13t in 2025. If met, this would reflect a modest 2.9% improvement in revenue compared to the last 12 months. Statutory per-share earnings are expected to be JP¥526, roughly flat on the last 12 months. Before this earnings report, the analysts had been forecasting revenues of JP¥1.14t and earnings per share (EPS) of JP¥528 in 2025. The consensus analysts don'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.

The analysts reconfirmed their price target of JP¥9,908, showing that the business is executing well and in line with expectations. 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 Fuji Electric at JP¥12,000 per share, while the most bearish prices it at JP¥6,400. As you can see, analysts are not all in agreement on the stock's future, but the range of estimates is still reasonably narrow, which could suggest that the outcome is not totally unpredictable.

Of course, another way to look at these forecasts is to place them into context against the industry itself. It's pretty clear that there is an expectation that Fuji Electric's revenue growth will slow down substantially, with revenues to the end of 2025 expected to display 2.9% growth on an annualised basis. This is compared to a historical growth rate of 4.2% over the past five years. By way of comparison, the other companies in this industry with analyst coverage are forecast to grow their revenue at 4.2% per year. So it's pretty clear that, while revenue growth is expected to slow down, the wider industry is also expected to grow faster than Fuji Electric.

The Bottom Line

The most important thing to take away is that there's been no major change in sentiment, with the analysts reconfirming that the business is performing in line with their previous earnings per share estimates. On the plus side, there were no major changes to revenue estimates; although forecasts imply they will perform worse than the wider industry. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.

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 estimates - from multiple Fuji Electric analysts - going out to 2027, and you can see them free on our platform here.

You can also view our analysis of Fuji Electric's balance sheet, and whether we think Fuji Electric is carrying too much debt, for free on our platform here.

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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.