Tangshan Jidong Cement Co.,Ltd. Just Reported A Surprise Loss: Here's What Analysts Think Will Happen Next

Shareholders might have noticed that Tangshan Jidong Cement Co.,Ltd. (SZSE:000401) filed its annual result this time last week. The early response was not positive, with shares down 3.3% to CN¥4.94 in the past week. It was a pretty negative result overall, with revenues of CN¥25b missing analyst predictions by 4.1%. Worse, the business reported a statutory loss of CN¥0.37 per share, a substantial decline on analyst expectations of a profit. 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. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year.

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Taking into account the latest results, the most recent consensus for Tangshan Jidong CementLtd from four analysts is for revenues of CN¥26.6b in 2025. If met, it would imply an okay 5.3% increase on its revenue over the past 12 months. Tangshan Jidong CementLtd is also expected to turn profitable, with statutory earnings of CN¥0.19 per share. Yet prior to the latest earnings, the analysts had been anticipated revenues of CN¥27.1b and earnings per share (EPS) of CN¥0.21 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.

View our latest analysis for Tangshan Jidong CementLtd

The average price target fell 5.4% to CN¥6.61, with reduced earnings forecasts clearly tied to a lower valuation estimate. 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. There are some variant perceptions on Tangshan Jidong CementLtd, with the most bullish analyst valuing it at CN¥7.94 and the most bearish at CN¥5.30 per share. There are definitely some different views on the stock, but the range of estimates is not wide enough as to imply that the situation is unforecastable, in our view.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Tangshan Jidong CementLtd's past performance and to peers in the same industry. One thing stands out from these estimates, which is that Tangshan Jidong CementLtd is forecast to grow faster in the future than it has in the past, with revenues expected to display 5.3% annualised growth until the end of 2025. If achieved, this would be a much better result than the 6.1% annual decline over the past five years. Compare this against analyst estimates for the broader industry, which suggest that (in aggregate) industry revenues are expected to grow 7.0% annually for the foreseeable future. So although Tangshan Jidong CementLtd's revenue growth is expected to improve, it is still expected to grow slower than the 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. 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 fell measurably, with the analysts seemingly not reassured by the latest results, leading to a lower estimate of Tangshan Jidong CementLtd's future valuation.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have estimates - from multiple Tangshan Jidong CementLtd 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 2 warning signs for Tangshan Jidong CementLtd (of which 1 makes us a bit uncomfortable!) 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.