Stella Chemifa Corporation Beat Revenue Forecasts By 6.2%: Here's What Analysts Are Forecasting Next

Stella Chemifa Corporation (TSE:4109) shareholders are probably feeling a little disappointed, since its shares fell 7.6% to JP¥4,040 in the week after its latest interim results. It was a workmanlike result, with revenues of JP¥18b coming in 6.2% ahead of expectations, and statutory earnings per share of JP¥153, in line with analyst appraisals. 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. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analysts have changed their mind on Stella Chemifa after the latest results.

See our latest analysis for Stella Chemifa

Taking into account the latest results, the consensus forecast from Stella Chemifa's twin analysts is for revenues of JP¥35.7b in 2025. This reflects a modest 4.7% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to shoot up 25% to JP¥251. Yet prior to the latest earnings, the analysts had been anticipated revenues of JP¥36.2b and earnings per share (EPS) of JP¥246 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¥4,970.

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. One thing stands out from these estimates, which is that Stella Chemifa is forecast to grow faster in the future than it has in the past, with revenues expected to display 9.6% annualised growth until the end of 2025. If achieved, this would be a much better result than the 1.0% annual decline over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in the industry are forecast to see their revenue grow 5.1% per year. Not only are Stella Chemifa's revenues expected to improve, it seems that the analysts are also expecting it to grow faster than 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, they also reconfirmed their revenue numbers, suggesting that it's tracking in line with expectations. Additionally, our data suggests that revenue is expected to grow faster than the wider industry. The consensus price target held steady at JP¥4,970, with the latest estimates not enough to have an impact on their price targets.

Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. We have analyst estimates for Stella Chemifa going out as far as 2027, and you can see them free on our platform here.

However, before you get too enthused, we've discovered 1 warning sign for Stella Chemifa that you should be aware of.

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.