AS ONE Corporation (TSE:7476) Half-Year Results: Here's What Analysts Are Forecasting For This Year

AS ONE Corporation (TSE:7476) shareholders are probably feeling a little disappointed, since its shares fell 5.0% to JP¥2,708 in the week after its latest interim results. AS ONE reported in line with analyst predictions, delivering revenues of JP¥49b and statutory earnings per share of JP¥104, 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. So we gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.

View our latest analysis for AS ONE

Taking into account the latest results, the current consensus from AS ONE's three analysts is for revenues of JP¥103.4b in 2025. This would reflect a credible 3.3% increase on its revenue over the past 12 months. Per-share earnings are expected to increase 7.3% to JP¥116. Yet prior to the latest earnings, the analysts had been anticipated revenues of JP¥103.4b and earnings per share (EPS) of JP¥117 in 2025. 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.

It will come as no surprise then, to learn that the consensus price target is largely unchanged at JP¥3,600. 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. Currently, the most bullish analyst values AS ONE at JP¥3,700 per share, while the most bearish prices it at JP¥3,500. The narrow spread of estimates could suggest that the business' future is relatively easy to value, or thatthe analysts have a strong view on its prospects.

Looking at the bigger picture now, one of the ways we can make sense of these forecasts is to see how they measure up against both past performance and industry growth estimates. We can infer from the latest estimates that forecasts expect a continuation of AS ONE'shistorical trends, as the 6.7% annualised revenue growth to the end of 2025 is roughly in line with the 7.3% annual growth over the past five years. Compare this with the broader industry, which analyst estimates (in aggregate) suggest will see revenues grow 5.7% annually. So although AS ONE is expected to maintain its revenue growth rate, it's only growing at about the rate of 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. They also reconfirmed their revenue estimates, with the company predicted to grow at about the same rate as the wider industry. The consensus price target held steady at JP¥3,600, with the latest estimates not enough to have an impact on their price targets.

With that in mind, we wouldn't be too quick to come to a conclusion on AS ONE. Long-term earnings power is much more important than next year's profits. We have forecasts for AS ONE 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 1 warning sign for AS ONE 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.