Analyst Estimates: Here's What Brokers Think Of Yamato Holdings Co., Ltd. (TSE:9064) After Its Interim Report

Last week saw the newest half-year earnings release from Yamato Holdings Co., Ltd. (TSE:9064), an important milestone in the company's journey to build a stronger business. Revenues were in line with expectations, at JP¥840b, while statutory losses ballooned to JP¥32.58 per share. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.

View our latest analysis for Yamato Holdings

Taking into account the latest results, Yamato Holdings' ten analysts currently expect revenues in 2025 to be JP¥1.76t, approximately in line with the last 12 months. Statutory earnings per share are predicted to jump 30% to JP¥79.77. In the lead-up to this report, the analysts had been modelling revenues of JP¥1.77t and earnings per share (EPS) of JP¥81.86 in 2025. So it looks like there's been a small decline in overall sentiment after the recent results - there's been no major change to revenue estimates, but the analysts did make a minor downgrade to their earnings per share forecasts.

The consensus price target held steady at JP¥1,745, with the analysts seemingly voting that their lower forecast earnings are not expected to lead to a lower stock price in the foreseeable future. The consensus price target is just an average of individual analyst targets, so - it could be handy to see how wide the range of underlying estimates is. There are some variant perceptions on Yamato Holdings, with the most bullish analyst valuing it at JP¥2,200 and the most bearish at JP¥1,500 per share. These price targets show that analysts do have some differing views on the business, but the estimates do not vary enough to suggest to us that some are betting on wild success or utter failure.

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. The analysts are definitely expecting Yamato Holdings' growth to accelerate, with the forecast 2.6% annualised growth to the end of 2025 ranking favourably alongside historical growth of 1.9% per annum over the past five years. Compare this with other companies in the same industry, which are forecast to see revenue growth of 4.1% annually. It seems obvious that, while the future growth outlook is brighter than the recent past, Yamato Holdings is expected to grow slower than the wider industry.

The Bottom Line

The biggest concern is that the analysts reduced their earnings per share estimates, suggesting business headwinds could lay ahead for Yamato Holdings. Fortunately, the analysts also reconfirmed their revenue estimates, suggesting that it's tracking in line with expectations. Although our data does suggest that Yamato Holdings' revenue is expected to perform worse than the wider 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.

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 estimates - from multiple Yamato Holdings analysts - 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 3 warning signs for Yamato Holdings 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.