Infomart Corporation (TSE:2492) Just Reported First-Quarter Earnings: Have Analysts Changed Their Mind On The Stock?

Shareholders might have noticed that Infomart Corporation (TSE:2492) filed its first-quarter result this time last week. The early response was not positive, with shares down 4.1% to JP¥348 in the past week. Infomart reported in line with analyst predictions, delivering revenues of JP¥4.3b and statutory earnings per share of JP¥2.90, suggesting the business is executing well and in line with its plan. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. We've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.

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Following the latest results, Infomart's three analysts are now forecasting revenues of JP¥18.7b in 2025. This would be a decent 14% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to jump 80% to JP¥6.02. Before this earnings report, the analysts had been forecasting revenues of JP¥18.3b and earnings per share (EPS) of JP¥6.71 in 2025. While next year's revenue estimates increased, there was also a substantial drop in EPS expectations, suggesting the consensus has a bit of a mixed view of these results.

Check out our latest analysis for Infomart

The consensus price target was unchanged at JP¥417, suggesting the business is performing roughly in line with expectations, despite some adjustments to profit and revenue forecasts. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. Currently, the most bullish analyst values Infomart at JP¥440 per share, while the most bearish prices it at JP¥390. Even so, with a relatively close grouping of estimates, it looks like the analysts are quite confident in their valuations, suggesting Infomart 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 analysts are definitely expecting Infomart's growth to accelerate, with the forecast 19% annualised growth to the end of 2025 ranking favourably alongside historical growth of 14% per annum 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 7.0% per year. Factoring in the forecast acceleration in revenue, it's pretty clear that Infomart is expected to grow much faster than its industry.

The Bottom Line

The biggest concern is that the analysts reduced their earnings per share estimates, suggesting business headwinds could lay ahead for Infomart. Happily, they also upgraded their revenue estimates, and are forecasting them to grow faster than the wider industry. The consensus price target held steady at JP¥417, with the latest estimates not enough to have an impact on their price targets.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have forecasts for Infomart going out to 2027, and you can see them free on our platform here.

Before you take the next step you should know about the 2 warning signs for Infomart (1 is potentially serious!) that we have uncovered.

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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.