BANDAI NAMCO Holdings Inc. (TSE:7832) Just Reported Half-Yearly Earnings: Have Analysts Changed Their Mind On The Stock?

Last week, you might have seen that BANDAI NAMCO Holdings Inc. (TSE:7832) released its half-yearly result to the market. The early response was not positive, with shares down 5.0% to JP¥4,560 in the past week. BANDAI NAMCO Holdings beat revenue expectations by 2.4%, at JP¥644b. Statutory earnings per share (EPS) came in at JP¥122, some 3.6% short of analyst estimates. 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. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year.

This technology could replace computers: discover the 20 stocks are working to make quantum computing a reality.

Taking into account the latest results, BANDAI NAMCO Holdings' 16 analysts currently expect revenues in 2026 to be JP¥1.28t, approximately in line with the last 12 months. Statutory per share are forecast to be JP¥198, approximately in line with the last 12 months. Yet prior to the latest earnings, the analysts had been anticipated revenues of JP¥1.28t and earnings per share (EPS) of JP¥195 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 BANDAI NAMCO Holdings

It will come as no surprise then, to learn that the consensus price target is largely unchanged at JP¥5,527. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. The most optimistic BANDAI NAMCO Holdings analyst has a price target of JP¥6,800 per share, while the most pessimistic values it at JP¥4,100. 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.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the BANDAI NAMCO Holdings' past performance and to peers in the same industry. It's pretty clear that there is an expectation that BANDAI NAMCO Holdings' revenue growth will slow down substantially, with revenues to the end of 2026 expected to display 1.5% growth on an annualised basis. This is compared to a historical growth rate of 12% over the past five years. Compare this against other companies (with analyst forecasts) in the industry, which are in aggregate expected to see revenue growth of 4.6% annually. Factoring in the forecast slowdown in growth, it seems obvious that BANDAI NAMCO Holdings is also expected to grow slower than other industry participants.

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. 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.

With that in mind, we wouldn't be too quick to come to a conclusion on BANDAI NAMCO Holdings. Long-term earnings power is much more important than next year's profits. We have forecasts for BANDAI NAMCO Holdings going out to 2028, and you can see them free on our platform here.

We also provide an overview of the BANDAI NAMCO Holdings Board and CEO remuneration and length of tenure at the company, and whether insiders have been buying the stock, here.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

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.