Mitsubishi Gas Chemical Company, Inc. Just Missed EPS By 32%: Here's What Analysts Think Will Happen Next

The analysts might have been a bit too bullish on Mitsubishi Gas Chemical Company, Inc. (TSE:4182), given that the company fell short of expectations when it released its third-quarter results last week. Results showed a clear earnings miss, with JP¥195b revenue coming in 3.0% lower than what the analystsexpected. Statutory earnings per share (EPS) of JP¥54.71 missed the mark badly, arriving some 32% below what was expected. Following the result, the analysts have updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. 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 Mitsubishi Gas Chemical Company

Taking into account the latest results, the consensus forecast from Mitsubishi Gas Chemical Company's eight analysts is for revenues of JP¥806.0b in 2026. This reflects a modest 4.0% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to bounce 54% to JP¥270. Yet prior to the latest earnings, the analysts had been anticipated revenues of JP¥805.4b and earnings per share (EPS) of JP¥274 in 2026. 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.

It will come as no surprise then, to learn that the consensus price target is largely unchanged at JP¥3,364. There's another way to think about price targets though, and that's to look at the range of price targets put forward by analysts, because a wide range of estimates could suggest a diverse view on possible outcomes for the business. There are some variant perceptions on Mitsubishi Gas Chemical Company, with the most bullish analyst valuing it at JP¥3,960 and the most bearish at JP¥2,500 per share. This shows there is still a bit of diversity in estimates, but analysts don't appear to be totally split on the stock as though it might be a success or failure situation.

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. It's pretty clear that there is an expectation that Mitsubishi Gas Chemical Company's revenue growth will slow down substantially, with revenues to the end of 2026 expected to display 3.2% growth on an annualised basis. This is compared to a historical growth rate of 7.5% 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 5.0% annually. So it's pretty clear that, while revenue growth is expected to slow down, the wider industry is also expected to grow faster than Mitsubishi Gas Chemical Company.

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. The consensus price target held steady at JP¥3,364, 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. At Simply Wall St, we have a full range of analyst estimates for Mitsubishi Gas Chemical Company going out to 2027, and you can see them free on our platform here..

You should always think about risks though. Case in point, we've spotted 1 warning sign for Mitsubishi Gas Chemical Company you should be aware of.

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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.