Industry Analysts Just Made A Huge Upgrade To Their Jiangsu Yahong Meditech Co., Ltd. (SHSE:688176) Revenue Forecasts

Jiangsu Yahong Meditech Co., Ltd. (SHSE:688176) shareholders will have a reason to smile today, with the analysts making substantial upgrades to this year's forecasts. The analysts have sharply increased their revenue numbers, with a view that Jiangsu Yahong Meditech will make substantially more sales than they'd previously expected. Investors have been pretty optimistic on Jiangsu Yahong Meditech too, with the stock up 31% to CN¥6.60 over the past week. We'll be curious to see if these new estimates convince the market to lift the stock price higher still.

Following the upgrade, the latest consensus from Jiangsu Yahong Meditech's twin analysts is for revenues of CN¥168m in 2024, which would reflect a huge 78% improvement in sales compared to the last 12 months. Prior to the latest estimates, the analysts were forecasting revenues of CN¥118m in 2024. It looks like there's been a clear increase in optimism around Jiangsu Yahong Meditech, given the chunky increase in revenue forecasts.

View our latest analysis for Jiangsu Yahong Meditech

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. It's pretty clear that there is an expectation that Jiangsu Yahong Meditech's revenue growth will slow down substantially, with revenues to the end of 2024 expected to display 78% growth on an annualised basis. This is compared to a historical growth rate of 99,320% over the past year. By way of comparison, the other companies in this industry with analyst coverage are forecast to grow their revenue at 12% annually. So it's pretty clear that, while Jiangsu Yahong Meditech's revenue growth is expected to slow, it's still expected to grow faster than the industry itself.

The Bottom Line

The most important thing to take away from this upgrade is that analysts lifted their revenue estimates for this year. They're also forecasting more rapid revenue growth than the wider market. Seeing the dramatic upgrade to this year's forecasts, it might be time to take another look at Jiangsu Yahong Meditech.

Want to learn more? At least one of Jiangsu Yahong Meditech's twin analysts has provided estimates out to 2026, which can be seen for 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 upgrading 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.