It’s been a sad week for Kawasaki Kisen Kaisha, Ltd. (TSE:9107), who’ve watched their investment drop 15% to JP¥2,999 in the week since the company reported its half-yearly result. Statutory earnings per share of JP¥166 unfortunately missed expectations by 17%, although it was encouraging to see revenues of JP¥602b exceed expectations by 5.3%. 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. Readers will be glad to know we’ve aggregated the latest statutory forecasts to see whether the analysts have changed their mind on Kawasaki Kisen Kaisha after the latest results.
Following last week’s earnings report, Kawasaki Kisen Kaisha’s eleven analysts are forecasting 2027 revenues to be JP¥1.10t, approximately in line with the last 12 months. Statutory earnings per share are predicted to rise 3.9% to JP¥324. Before this earnings report, the analysts had been forecasting revenues of JP¥1.10t and earnings per share (EPS) of JP¥324 in 2027. The consensus analysts don’t seem to have seen anything in these results that would have changed their view on the business, given there’s been no major change to their estimates.
Check out our latest analysis for Kawasaki Kisen Kaisha
The analysts reconfirmed their price target of JP¥3,029, showing that the business is executing well and in line with expectations. 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. Currently, the most bullish analyst values Kawasaki Kisen Kaisha at JP¥3,700 per share, while the most bearish prices it at JP¥1,370. 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.
Taking a look at the bigger picture now, one of the ways we can understand these forecasts is to see how they compare to both past performance and industry growth estimates. These estimates imply that revenue is expected to slow, with a forecast annualised decline of 2.8% by the end of 2027. This indicates a significant reduction from annual growth of 7.3% over the last five years. By contrast, our data suggests that other companies (with analyst coverage) in the same industry are forecast to see their revenue grow 2.0% annually for the foreseeable future. It’s pretty clear that Kawasaki Kisen Kaisha’s revenues are expected to perform substantially worse than the wider 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. On the plus side, there were no major changes to revenue estimates; although forecasts imply they will perform worse than the wider industry. The consensus price target held steady at JP¥3,029, with the latest estimates not enough to have an impact on their price targets.
With that in mind, we wouldn’t be too quick to come to a conclusion on Kawasaki Kisen Kaisha. Long-term earnings power is much more important than next year’s profits. At Simply Wall St, we have a full range of analyst estimates for Kawasaki Kisen Kaisha going out to 2029, and you can see them free on our platform here..
Plus, you should also learn about the 2 warning signs we’ve spotted with Kawasaki Kisen Kaisha (including 1 which can’t be ignored) .
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