Here's What Analysts Are Forecasting For Daito Trust Construction Co.,Ltd. (TSE:1878) After Its Full-Year Results

Daito Trust Construction Co.,Ltd. (TSE:1878) shareholders are probably feeling a little disappointed, since its shares fell 3.3% to JP¥16,355 in the week after its latest full-year results. It was a credible result overall, with revenues of JP¥1.7t and statutory earnings per share of JP¥1,111 both in line with analyst estimates, showing that Daito Trust ConstructionLtd is executing in line with expectations. 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. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analysts have changed their mind on Daito Trust ConstructionLtd after the latest results.

Check out our latest analysis for Daito Trust ConstructionLtd

Following the latest results, Daito Trust ConstructionLtd's seven analysts are now forecasting revenues of JP¥1.80t in 2025. This would be a credible 3.8% improvement in revenue compared to the last 12 months. Per-share earnings are expected to climb 13% to JP¥1,289. In the lead-up to this report, the analysts had been modelling revenues of JP¥1.80t and earnings per share (EPS) of JP¥1,312 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.

There were no changes to revenue or earnings estimates or the price target of JP¥17,906, suggesting that the company has met expectations in its recent result. That's not the only conclusion we can draw from this data however, as some investors also like to consider the spread in estimates when evaluating analyst price targets. The most optimistic Daito Trust ConstructionLtd analyst has a price target of JP¥19,600 per share, while the most pessimistic values it at JP¥16,800. Even so, with a relatively close grouping of estimates, it looks like the analysts are quite confident in their valuations, suggesting Daito Trust ConstructionLtd is an easy business to forecast or the the analysts are all using similar assumptions.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Daito Trust ConstructionLtd's past performance and to peers in the same industry. The analysts are definitely expecting Daito Trust ConstructionLtd's growth to accelerate, with the forecast 3.8% annualised growth to the end of 2025 ranking favourably alongside historical growth of 1.9% per annum over the past five years. Other similar companies in the industry (with analyst coverage) are also forecast to grow their revenue at 4.3% per year. Factoring in the forecast acceleration in revenue, it's pretty clear that Daito Trust ConstructionLtd is expected to grow at about the same rate as 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. Happily, there were no real changes to revenue forecasts, with the business still expected to grow in line with the overall 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.

Following on from that line of thought, we think that the long-term prospects of the business are much more relevant than next year's earnings. We have estimates - from multiple Daito Trust ConstructionLtd analysts - going out to 2027, and you can see them free on our platform here.

Another thing to consider is whether management and directors have been buying or selling stock recently. We provide an overview of all open market stock trades for the last twelve months on our platform, 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.