JEOL Ltd. Just Beat Earnings Expectations: Here's What Analysts Think Will Happen Next

As you might know, JEOL Ltd. (TSE:6951) just kicked off its latest first-quarter results with some very strong numbers. The company beat forecasts, with revenue of JP¥40b, some 9.4% above estimates, and statutory earnings per share (EPS) coming in at JP¥91.32, 56% ahead of expectations. 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. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.

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Taking into account the latest results, the five analysts covering JEOL provided consensus estimates of JP¥183.9b revenue in 2026, which would reflect an uncomfortable 8.3% decline over the past 12 months. Statutory per-share earnings are expected to be JP¥381, roughly flat on the last 12 months. Yet prior to the latest earnings, the analysts had been anticipated revenues of JP¥183.0b and earnings per share (EPS) of JP¥363 in 2026. So the consensus seems to have become somewhat more optimistic on JEOL's earnings potential following these results.

View our latest analysis for JEOL

The consensus price target was unchanged at JP¥6,460, implying that the improved earnings outlook is not expected to have a long term impact on value creation for shareholders. 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. Currently, the most bullish analyst values JEOL at JP¥9,000 per share, while the most bearish prices it at JP¥4,100. 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.

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 would highlight that revenue is expected to reverse, with a forecast 11% annualised decline to the end of 2026. That is a notable change from historical growth of 13% over the last five years. Compare this with our data, which suggests that other companies in the same industry are, in aggregate, expected to see their revenue grow 6.2% per year. It's pretty clear that JEOL's revenues are expected to perform substantially worse 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 JEOL following these results. Fortunately, the analysts also reconfirmed their revenue estimates, suggesting that it's tracking in line with expectations. Although our data does suggest that JEOL's revenue is expected to perform worse than the wider industry. The consensus price target held steady at JP¥6,460, with the latest estimates not enough to have an impact on their price targets.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. At Simply Wall St, we have a full range of analyst estimates for JEOL going out to 2028, and you can see them free on our platform here..

And what about risks? Every company has them, and we've spotted 1 warning sign for JEOL 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.