Kissei Pharmaceutical Co., Ltd. Beat Analyst Estimates: See What The Consensus Is Forecasting For This Year

Kissei Pharmaceutical Co., Ltd. (TSE:4547) defied analyst predictions to release its half-year results, which were ahead of market expectations. It was overall a positive result, with revenues beating expectations by 2.8% to hit JP¥46b. Kissei Pharmaceutical also reported a statutory profit of JP¥187, which was an impressive 34% above what the analysts had forecast. 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. We've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.

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Taking into account the latest results, the most recent consensus for Kissei Pharmaceutical from four analysts is for revenues of JP¥95.7b in 2026. If met, it would imply a satisfactory 4.3% increase on its revenue over the past 12 months. Statutory earnings per share are forecast to sink 13% to JP¥306 in the same period. Before this earnings report, the analysts had been forecasting revenues of JP¥91.6b and earnings per share (EPS) of JP¥303 in 2026. So it looks like there's been no major change in sentiment following the latest results, although the analysts have made a small increase to to revenue forecasts.

View our latest analysis for Kissei Pharmaceutical

It may not be a surprise to see thatthe analysts have reconfirmed their price target of JP¥5,025, implying that the uplift in revenue is not expected to greatly contribute to Kissei Pharmaceutical's valuation in the near term. 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. Currently, the most bullish analyst values Kissei Pharmaceutical at JP¥5,200 per share, while the most bearish prices it at JP¥4,600. Still, with such a tight range of estimates, it suggeststhe analysts have a pretty good idea of what they think the company is worth.

Taking a look at the bigger picture now, one of the ways we can understand these forecasts is to see how they compare to both past performance and industry growth estimates. It's clear from the latest estimates that Kissei Pharmaceutical's rate of growth is expected to accelerate meaningfully, with the forecast 8.9% annualised revenue growth to the end of 2026 noticeably faster than its historical growth of 6.6% p.a. over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 3.8% per year. Factoring in the forecast acceleration in revenue, it's pretty clear that Kissei Pharmaceutical is expected to grow much faster than its industry.

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. Happily, they also upgraded their revenue estimates, and are forecasting them 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 said, the long-term trajectory of the company's earnings is a lot more important than next year. We have forecasts for Kissei Pharmaceutical going out to 2028, and you can see them free on our platform here.

Plus, you should also learn about the 3 warning signs we've spotted with Kissei Pharmaceutical (including 1 which makes us a bit uncomfortable) .

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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.