Here's What Analysts Are Forecasting For NSD Co., Ltd. (TSE:9759) After Its Full-Year Results

NSD Co., Ltd. (TSE:9759) shareholders are probably feeling a little disappointed, since its shares fell 3.9% to JP¥2,944 in the week after its latest yearly results. NSD missed revenue estimates by 3.7%, coming in atJP¥101b, although statutory earnings per share (EPS) of JP¥133 beat expectations, coming in 4.1% ahead of analyst estimates. 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. We've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.

Check out our latest analysis for NSD

Following the latest results, NSD's dual analysts are now forecasting revenues of JP¥108.8b in 2025. This would be a satisfactory 7.4% improvement in revenue compared to the last 12 months. Per-share earnings are expected to rise 7.7% to JP¥144. Yet prior to the latest earnings, the analysts had been anticipated revenues of JP¥113.2b and earnings per share (EPS) of JP¥136 in 2025. If anything, the analysts look to have become slightly more optimistic overall; while they decreased their revenue forecasts, EPS predictions increased and ultimately earnings are more important.

The consensus has made no major changes to the price target of JP¥3,450, suggesting the forecast improvement in earnings is expected to offset the decline in revenues next year.

Another way we can view these estimates is in the context of the bigger picture, such as how the forecasts stack up against past performance, and whether forecasts are more or less bullish relative to other companies in the industry. We can infer from the latest estimates that forecasts expect a continuation of NSD'shistorical trends, as the 7.4% annualised revenue growth to the end of 2025 is roughly in line with the 8.9% 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 4.9% per year. So although NSD 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 here is that the analysts upgraded their earnings per share estimates, suggesting that there has been a clear increase in optimism towards NSD following these results. Regrettably, they also downgraded their revenue estimates, but the latest forecasts still imply the business will grow faster than the wider industry. Still, earnings are more important to the intrinsic value of the business. 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 analyst estimates for NSD going out as far as 2026, and you can see them free on our platform here.

You can also see our analysis of NSD's Board and CEO remuneration and experience, and whether company insiders have been buying stock.

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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.