The en Inc. (TSE:4849) Half-Year Results Are Out And Analysts Have Published New Forecasts

Shareholders might have noticed that en Inc. (TSE:4849) filed its half-yearly result this time last week. The early response was not positive, with shares down 9.3% to JP¥1,368 in the past week. en reported in line with analyst predictions, delivering revenues of JP¥30b and statutory earnings per share of JP¥20.16, suggesting the business is executing well and in line with its plan. 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. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.

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Taking into account the latest results, en's eight analysts currently expect revenues in 2026 to be JP¥61.9b, approximately in line with the last 12 months. Statutory earnings per share are forecast to crater 38% to JP¥65.64 in the same period. In the lead-up to this report, the analysts had been modelling revenues of JP¥61.9b and earnings per share (EPS) of JP¥65.64 in 2026. So it's pretty clear that, although the analysts have updated their estimates, there's been no major change in expectations for the business following the latest results.

Check out our latest analysis for en

There were no changes to revenue or earnings estimates or the price target of JP¥1,542, suggesting that the company has met expectations in its recent result. 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 en analyst has a price target of JP¥1,800 per share, while the most pessimistic values it at JP¥1,300. 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.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the en's past performance and to peers in the same industry. These estimates imply that revenue is expected to slow, with a forecast annualised decline of 2.9% by the end of 2026. This indicates a significant reduction from annual growth of 8.2% over the last five years. By contrast, our data suggests that other companies (with analyst coverage) in the same industry are forecast to see their revenue grow 6.8% annually for the foreseeable future. So although its revenues are forecast to shrink, this cloud does not come with a silver lining - en is expected to lag the wider industry.

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. Fortunately, the analysts also reconfirmed their revenue estimates, suggesting that it's tracking in line with expectations. Although our data does suggest that en's revenue is expected to perform worse than the wider industry. The consensus price target held steady at JP¥1,542, 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 en going out to 2028, and you can see them free on our platform here.

Don't forget that there may still be risks. For instance, we've identified 2 warning signs for en 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.