Analyst Estimates: Here's What Brokers Think Of CSW Industrials, Inc. (NASDAQ:CSWI) After Its Annual Report

CSW Industrials, Inc. (NASDAQ:CSWI) shareholders are probably feeling a little disappointed, since its shares fell 9.2% to US$301 in the week after its latest annual results. It was a credible result overall, with revenues of US$878m and statutory earnings per share of US$8.38 both in line with analyst estimates, showing that CSW Industrials is executing in line with expectations. Following the result, the analysts have updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. 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 consensus forecast from CSW Industrials' six analysts is for revenues of US$1.06b in 2026. This reflects a huge 21% improvement in revenue compared to the last 12 months. Per-share earnings are expected to climb 15% to US$9.36. In the lead-up to this report, the analysts had been modelling revenues of US$981.7m and earnings per share (EPS) of US$9.75 in 2026. So it's pretty clear consensus is mixed on CSW Industrials after the latest results; whilethe analysts lifted revenue numbers, they also administered a small dip in per-share earnings expectations.

View our latest analysis for CSW Industrials

The consensus price target was unchanged at US$347, suggesting the business is performing roughly in line with expectations, despite some adjustments to profit and revenue forecasts. 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. The most optimistic CSW Industrials analyst has a price target of US$405 per share, while the most pessimistic values it at US$305. The narrow spread of estimates could suggest that the business' future is relatively easy to value, or thatthe analysts have a strong view on its prospects.

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. The analysts are definitely expecting CSW Industrials' growth to accelerate, with the forecast 21% annualised growth to the end of 2026 ranking favourably alongside historical growth of 17% per annum over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 5.5% annually. Factoring in the forecast acceleration in revenue, it's pretty clear that CSW Industrials is expected to grow much faster than its industry.

The Bottom Line

The most important thing to take away is that the analysts downgraded their earnings per share estimates, showing that there has been a clear decline in sentiment following these results. Pleasantly, they also upgraded their revenue estimates, and their forecasts suggest the business is expected to grow faster than the wider industry. The consensus price target held steady at US$347, 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. We have forecasts for CSW Industrials going out to 2028, and you can see them free on our platform here.

We also provide an overview of the CSW Industrials Board and CEO remuneration and length of tenure at the company, and whether insiders have been buying the stock, here.

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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.