Mitsui High-tec, Inc. Just Missed Earnings - But Analysts Have Updated Their Models

As you might know, Mitsui High-tec, Inc. (TSE:6966) last week released its latest third-quarter, and things did not turn out so great for shareholders. Results showed a clear earnings miss, with JP¥54b revenue coming in 2.3% lower than what the analystsexpected. Statutory earnings per share (EPS) of JP¥12.43 missed the mark badly, arriving some 29% below what was expected. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year.

See our latest analysis for Mitsui High-tec

After the latest results, the five analysts covering Mitsui High-tec are now predicting revenues of JP¥253.5b in 2026. If met, this would reflect a huge 21% improvement in revenue compared to the last 12 months. Statutory earnings per share are forecast to decrease 8.4% to JP¥65.82 in the same period. Yet prior to the latest earnings, the analysts had been anticipated revenues of JP¥254.5b and earnings per share (EPS) of JP¥66.77 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.

The analysts reconfirmed their price target of JP¥1,373, 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. Currently, the most bullish analyst values Mitsui High-tec at JP¥1,620 per share, while the most bearish prices it at JP¥1,200. There are definitely some different views on the stock, but the range of estimates is not wide enough as to imply that the situation is unforecastable, in our view.

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 can infer from the latest estimates that forecasts expect a continuation of Mitsui High-tec'shistorical trends, as the 16% annualised revenue growth to the end of 2026 is roughly in line with the 20% 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 9.8% per year. So it's pretty clear that Mitsui High-tec is forecast to grow substantially 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, there were no major changes to revenue forecasts, with the business still expected to grow faster than the wider industry. The consensus price target held steady at JP¥1,373, 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. We have forecasts for Mitsui High-tec going out to 2027, and you can see them free on our platform here.

And what about risks? Every company has them, and we've spotted 2 warning signs for Mitsui High-tec you should know about.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

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.