Analysts Are Updating Their Daiseki Co.,Ltd. (TSE:9793) Estimates After Its First-Quarter Results

As you might know, Daiseki Co.,Ltd. (TSE:9793) recently reported its quarterly numbers. DaisekiLtd reported in line with analyst predictions, delivering revenues of JP¥17b and statutory earnings per share of JP¥193, suggesting the business is executing well and in line with its plan. 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. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.

Check out our latest analysis for DaisekiLtd

Following last week's earnings report, DaisekiLtd's seven analysts are forecasting 2025 revenues to be JP¥67.2b, approximately in line with the last 12 months. Statutory earnings per share are expected to dip 5.8% to JP¥191 in the same period. Yet prior to the latest earnings, the analysts had been anticipated revenues of JP¥67.5b and earnings per share (EPS) of JP¥186 in 2025. The analysts seems to have become more bullish on the business, judging by their new earnings per share estimates.

There's been no major changes to the consensus price target of JP¥4,340, suggesting that the improved earnings per share outlook is not enough to have a long-term positive impact on the stock's valuation. The consensus price target is just an average of individual analyst targets, so - it could be handy to see how wide the range of underlying estimates is. There are some variant perceptions on DaisekiLtd, with the most bullish analyst valuing it at JP¥6,000 and the most bearish at JP¥3,000 per share. This is a fairly broad spread of estimates, suggesting that analysts are forecasting a wide range of possible outcomes for the business.

One way to get more context on these forecasts is to look at how they compare to both past performance, and how other companies in the same industry are performing. These estimates imply that revenue is expected to slow, with a forecast annualised decline of 1.6% by the end of 2025. This indicates a significant reduction from annual growth of 5.8% 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 3.8% annually for the foreseeable future. It's pretty clear that DaisekiLtd's revenues are expected to perform substantially worse than the wider industry.

The Bottom Line

The biggest takeaway for us is the consensus earnings per share upgrade, which suggests a clear improvement in sentiment around DaisekiLtd's earnings potential next year. 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.

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 DaisekiLtd analysts - going out to 2027, and you can see them free on our platform here.

It is also worth noting that we have found 1 warning sign for DaisekiLtd that you need to take into consideration.

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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.

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