The Consensus EPS Estimates For Jinyu Bio-technology Co., Ltd. (SHSE:600201) Just Fell Dramatically

Today is shaping up negative for Jinyu Bio-technology Co., Ltd. (SHSE:600201) shareholders, with the analysts delivering a substantial negative revision to this year's forecasts. Revenue and earnings per share (EPS) forecasts were both revised downwards, with analysts seeing grey clouds on the horizon.

Following this downgrade, Jinyu Bio-technology's eight analysts are forecasting 2024 revenues to be CN¥1.5b, approximately in line with the last 12 months. Statutory earnings per share are presumed to accumulate 4.8% to CN¥0.26. Before this latest update, the analysts had been forecasting revenues of CN¥1.8b and earnings per share (EPS) of CN¥0.32 in 2024. It looks like analyst sentiment has declined substantially, with a substantial drop in revenue estimates and a large cut to earnings per share numbers as well.

See our latest analysis for Jinyu Bio-technology

It'll come as no surprise then, to learn that the analysts have cut their price target 13% to CN¥7.94.

Of course, another way to look at these forecasts is to place them into context against the industry itself. We would highlight that Jinyu Bio-technology's revenue growth is expected to slow, with the forecast 0.4% annualised growth rate until the end of 2024 being well below the historical 3.3% p.a. growth over the last five years. Compare this against other companies (with analyst forecasts) in the industry, which are in aggregate expected to see revenue growth of 25% annually. So it's pretty clear that, while revenue growth is expected to slow down, the wider industry is also expected to grow faster than Jinyu Bio-technology.

The Bottom Line

The biggest issue in the new estimates is that analysts have reduced their earnings per share estimates, suggesting business headwinds lay ahead for Jinyu Bio-technology. Unfortunately analysts also downgraded their revenue estimates, and industry data suggests that Jinyu Bio-technology's revenues are expected to grow 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.

Still, the long-term prospects of the business are much more relevant than next year's earnings. At Simply Wall St, we have a full range of analyst estimates for Jinyu Bio-technology going out to 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.