The Consensus EPS Estimates For Tianjin LVYIN Landscape and Ecology Construction Co., Ltd (SZSE:002887) Just Fell A Lot

Market forces rained on the parade of Tianjin LVYIN Landscape and Ecology Construction Co., Ltd (SZSE:002887) shareholders today, when the covering analyst downgraded their forecasts for this year. Revenue and earnings per share (EPS) forecasts were both revised downwards, with the analyst seeing grey clouds on the horizon.

Following this downgrade, Tianjin LVYIN Landscape and Ecology Construction's lone analyst are forecasting 2024 revenues to be CN¥420m, approximately in line with the last 12 months. Statutory earnings per share are supposed to shrink 5.2% to CN¥0.32 in the same period. Prior to this update, the analyst had been forecasting revenues of CN¥637m and earnings per share (EPS) of CN¥0.50 in 2024. It looks like analyst sentiment has declined substantially, with a pretty serious reduction to revenue estimates and a pretty serious decline to earnings per share numbers as well.

View our latest analysis for Tianjin LVYIN Landscape and Ecology Construction

It'll come as no surprise then, to learn that the analyst has cut their price target 15% to CN¥7.50.

Of course, another way to look at these forecasts is to place them into context against the industry itself. One thing that stands out from these estimates is that shrinking revenues are expected to moderate over the period ending 2024 compared to the historical decline of 13% per annum over the past five years. Compare this against analyst estimates for companies in the broader industry, which suggest that revenues (in aggregate) are expected to grow 11% annually. So while a broad number of companies are forecast to grow, unfortunately Tianjin LVYIN Landscape and Ecology Construction is expected to see its sales affected worse than other companies in the industry.

The Bottom Line

The biggest issue in the new estimates is that the analyst has reduced their earnings per share estimates, suggesting business headwinds lay ahead for Tianjin LVYIN Landscape and Ecology Construction. Regrettably, they also downgraded their revenue estimates, and the latest forecasts imply the business will grow sales slower than the wider market. Given the scope of the downgrades, it would not be a surprise to see the market become more wary of the business.

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 Tianjin LVYIN Landscape and Ecology Construction going out as far as 2026, and you can see them free on our platform here.

Of course, seeing company management invest large sums of money in a stock can be just as useful as knowing whether analysts are downgrading their estimates. So you may also wish to search this free list of stocks with high insider ownership.

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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.