Analysts Are Updating Their Fanuc Corporation (TSE:6954) Estimates After Its Third-Quarter Results

Fanuc Corporation (TSE:6954) last week reported its latest third-quarter results, which makes it a good time for investors to dive in and see if the business is performing in line with expectations. It was a credible result overall, with revenues of JP¥197b and statutory earnings per share of JP¥35.22 both in line with analyst estimates, showing that Fanuc is executing in line with expectations. 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. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.

View our latest analysis for Fanuc

After the latest results, the 22 analysts covering Fanuc are now predicting revenues of JP¥853.2b in 2026. If met, this would reflect a decent 8.9% improvement in revenue compared to the last 12 months. Per-share earnings are expected to ascend 19% to JP¥175. Yet prior to the latest earnings, the analysts had been anticipated revenues of JP¥851.5b and earnings per share (EPS) of JP¥175 in 2026. 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¥5,066, showing that the business is executing well and in line with expectations. That's not the only conclusion we can draw from this data however, as some investors also like to consider the spread in estimates when evaluating analyst price targets. The most optimistic Fanuc analyst has a price target of JP¥6,000 per share, while the most pessimistic values it at JP¥3,600. 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. We would highlight that Fanuc's revenue growth is expected to slow, with the forecast 7.0% annualised growth rate until the end of 2026 being well below the historical 11% p.a. growth over the last five years. Juxtapose this against the other companies in the industry with analyst coverage, which are forecast to grow their revenues (in aggregate) 4.6% per year. So it's pretty clear that, while Fanuc's revenue growth is expected to slow, it's still expected to grow faster than the industry itself.

The Bottom Line

The most obvious conclusion is that there's been no major change in the business' prospects in recent times, with the analysts holding their earnings forecasts steady, in line with previous estimates. Fortunately, they also reconfirmed their revenue numbers, suggesting that it's tracking in line with expectations. Additionally, our data suggests that revenue is expected to grow faster than the wider industry. The consensus price target held steady at JP¥5,066, 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. We have estimates - from multiple Fanuc analysts - going out to 2027, and you can see them free on our platform here.

Even so, be aware that Fanuc is showing 1 warning sign in our investment analysis , 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.