Bullish: Analysts Just Made A Decent Upgrade To Their Beijing Enlight Media Co., Ltd. (SZSE:300251) Forecasts

Beijing Enlight Media Co., Ltd. (SZSE:300251) shareholders will have a reason to smile today, with the analysts making substantial upgrades to this year's forecasts. The consensus statutory numbers for both revenue and earnings per share (EPS) increased, with their view clearly much more bullish on the company's business prospects.

Following the upgrade, the most recent consensus for Beijing Enlight Media from its eleven analysts is for revenues of CN¥2.5b in 2024 which, if met, would be a meaningful 15% increase on its sales over the past 12 months. Statutory earnings per share are presumed to surge 51% to CN¥0.37. Prior to this update, the analysts had been forecasting revenues of CN¥2.3b and earnings per share (EPS) of CN¥0.34 in 2024. There has definitely been an improvement in perception recently, with the analysts substantially increasing both their earnings and revenue estimates.

Check out our latest analysis for Beijing Enlight Media

Despite these upgrades, the analysts have not made any major changes to their price target of CN¥10.80, suggesting that the higher estimates are not likely to have a long term impact on what the stock is worth.

One way to get more context on these forecasts is to look at how they compare to both past performance, and how other companies in the same industry are performing. One thing stands out from these estimates, which is that Beijing Enlight Media is forecast to grow faster in the future than it has in the past, with revenues expected to display 21% annualised growth until the end of 2024. If achieved, this would be a much better result than the 15% 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 16% annually. So it looks like Beijing Enlight Media is expected to grow faster than its competitors, at least for a while.

The Bottom Line

The most important thing to take away from this upgrade is that analysts upgraded their earnings per share estimates for this year, expecting improving business conditions. They also upgraded their revenue estimates for this year, and sales are expected to grow faster than the wider market. The lack of change in the price target is puzzling, but with a serious upgrade to this year's earnings expectations, it might be time to take another look at Beijing Enlight Media.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. At Simply Wall St, we have a full range of analyst estimates for Beijing Enlight Media going out to 2026, and you can see them free on our platform here..

Another way to search for interesting companies that could be reaching an inflection point is to track whether management are buying or selling, with our free list of growing companies that insiders are buying.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

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.