COSMOS Pharmaceutical Corporation Just Beat Analyst Forecasts, And Analysts Have Been Updating Their Predictions

It's been a good week for COSMOS Pharmaceutical Corporation (TSE:3349) shareholders, because the company has just released its latest quarterly results, and the shares gained 4.1% to JP¥14,335. COSMOS Pharmaceutical reported JP¥239b in revenue, roughly in line with analyst forecasts, although statutory earnings per share (EPS) of JP¥146 beat expectations, being 7.5% higher than what the analysts expected. 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.

Check out our latest analysis for COSMOS Pharmaceutical

Taking into account the latest results, the consensus forecast from COSMOS Pharmaceutical's 13 analysts is for revenues of JP¥1.05t in 2025. This reflects a meaningful 12% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to increase 8.3% to JP¥680. Before this earnings report, the analysts had been forecasting revenues of JP¥1.04t and earnings per share (EPS) of JP¥679 in 2025. 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¥16,570, showing that the business is executing well and in line with expectations. 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 COSMOS Pharmaceutical, with the most bullish analyst valuing it at JP¥20,000 and the most bearish at JP¥13,100 per share. These price targets show that analysts do have some differing views on the business, but the estimates do not vary enough to suggest to us that some are betting on wild success or utter failure.

Another way we can view these estimates is in the context of the bigger picture, such as how the forecasts stack up against past performance, and whether forecasts are more or less bullish relative to other companies in the industry. It's clear from the latest estimates that COSMOS Pharmaceutical's rate of growth is expected to accelerate meaningfully, with the forecast 9.4% annualised revenue growth to the end of 2025 noticeably faster than its historical growth of 7.7% p.a. over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 4.1% annually. Factoring in the forecast acceleration in revenue, it's pretty clear that COSMOS Pharmaceutical is expected to grow much faster than its 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. Happily, there were no major changes to revenue forecasts, with the business still expected to grow faster 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 COSMOS Pharmaceutical. Long-term earnings power is much more important than next year's profits. We have forecasts for COSMOS Pharmaceutical going out to 2026, and you can see them free on our platform here.

Another thing to consider is whether management and directors have been buying or selling stock recently. We provide an overview of all open market stock trades for the last twelve months on our platform, here.

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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.