ZOZO, Inc. (TSE:3092) First-Quarter Results: Here's What Analysts Are Forecasting For This Year

Last week, you might have seen that ZOZO, Inc. (TSE:3092) released its first-quarter result to the market. The early response was not positive, with shares down 2.3% to JP¥1,493 in the past week. It was a credible result overall, with revenues of JP¥54b and statutory earnings per share of JP¥12.79 both in line with analyst estimates, showing that ZOZO is executing in line with expectations. The analysts typically update their forecasts at each earnings report, and we can judge from their estimates whether their view of the company has changed or if there are any new concerns to be aware of. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analysts have changed their mind on ZOZO after the latest results.

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Following the latest results, ZOZO's 17 analysts are now forecasting revenues of JP¥229.9b in 2026. This would be an okay 6.0% improvement in revenue compared to the last 12 months. Per-share earnings are expected to increase 8.0% to JP¥55.55. In the lead-up to this report, the analysts had been modelling revenues of JP¥227.9b and earnings per share (EPS) of JP¥55.62 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.

See our latest analysis for ZOZO

It will come as no surprise then, to learn that the consensus price target is largely unchanged at JP¥1,500. 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 ZOZO analyst has a price target of JP¥2,100 per share, while the most pessimistic values it at JP¥1,000. Note the wide gap in analyst price targets? This implies to us that there is a fairly broad range of possible scenarios for the underlying business.

One way to get more context on these forecasts is to look at how they compare to both past performance, and how other companies in the same industry are performing. We can infer from the latest estimates that forecasts expect a continuation of ZOZO'shistorical trends, as the 8.1% annualised revenue growth to the end of 2026 is roughly in line with the 9.5% annual growth over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to see their revenues grow 6.4% per year. So although ZOZO is expected to maintain its revenue growth rate, it's definitely expected 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¥1,500, with the latest estimates not enough to have an impact on their price targets.

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. At Simply Wall St, we have a full range of analyst estimates for ZOZO going out to 2028, and you can see them free on our platform here..

Even so, be aware that ZOZO is showing 1 warning sign in our investment analysis , you should know about...

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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.