Analyst Estimates: Here's What Brokers Think Of Toho Co., Ltd. (TSE:9602) After Its Full-Year Report

It's been a good week for Toho Co., Ltd. (TSE:9602) shareholders, because the company has just released its latest yearly results, and the shares gained 8.5% to JP¥8,097. Results were roughly in line with estimates, with revenues of JP¥313b and statutory earnings per share of JP¥255. 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.

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Taking into account the latest results, Toho's eight analysts currently expect revenues in 2026 to be JP¥310.7b, approximately in line with the last 12 months. Per-share earnings are expected to rise 5.2% to JP¥269. Yet prior to the latest earnings, the analysts had been anticipated revenues of JP¥313.4b and earnings per share (EPS) of JP¥268 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.

View our latest analysis for Toho

The analysts reconfirmed their price target of JP¥7,504, showing that the business is executing well and in line with expectations. 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. The most optimistic Toho analyst has a price target of JP¥9,100 per share, while the most pessimistic values it at JP¥6,100. 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.

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 would highlight that revenue is expected to reverse, with a forecast 0.8% annualised decline to the end of 2026. That is a notable change from historical growth of 8.2% over the last five years. By contrast, our data suggests that other companies (with analyst coverage) in the same industry are forecast to see their revenue grow 12% annually for the foreseeable future. So although its revenues are forecast to shrink, this cloud does not come with a silver lining - Toho is expected to lag 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. 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 said, the long-term trajectory of the company's earnings is a lot more important than next year. We have estimates - from multiple Toho analysts - going out to 2028, and you can see them free on our platform here.

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