Changchun High-Tech Industry (Group) Co., Ltd. (SZSE:000661) Just Released Its First-Quarter Earnings: Here's What Analysts Think

Shareholders might have noticed that Changchun High-Tech Industry (Group) Co., Ltd. (SZSE:000661) filed its quarterly result this time last week. The early response was not positive, with shares down 8.3% to CN¥111 in the past week. It was a credible result overall, with revenues of CN¥3.2b and statutory earnings per share of CN¥11.06 both in line with analyst estimates, showing that Changchun High-Tech Industry (Group) is executing in line with expectations. Following the result, the analysts have updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. We've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.

Check out our latest analysis for Changchun High-Tech Industry (Group)

Taking into account the latest results, the most recent consensus for Changchun High-Tech Industry (Group) from nine analysts is for revenues of CN¥16.5b in 2024. If met, it would imply a decent 11% increase on its revenue over the past 12 months. Per-share earnings are expected to climb 14% to CN¥12.90. Yet prior to the latest earnings, the analysts had been anticipated revenues of CN¥16.5b and earnings per share (EPS) of CN¥13.04 in 2024. The consensus analysts don't seem to have seen anything in these results that would have changed their view on the business, given there's been no major change to their estimates.

There were no changes to revenue or earnings estimates or the price target of CN¥195, suggesting that the company has met expectations in its recent result. Fixating on a single price target can be unwise though, since the consensus target is effectively the average of analyst price targets. As a result, some investors like to look at the range of estimates to see if there are any diverging opinions on the company's valuation. Currently, the most bullish analyst values Changchun High-Tech Industry (Group) at CN¥201 per share, while the most bearish prices it at CN¥190. With such a narrow range of valuations, the analysts apparently share similar views on what they think the business is worth.

Another way we can view these estimates is in the context of the bigger picture, such as how the forecasts stack up against past performance, and whether forecasts are more or less bullish relative to other companies in the industry. We can infer from the latest estimates that forecasts expect a continuation of Changchun High-Tech Industry (Group)'shistorical trends, as the 14% annualised revenue growth to the end of 2024 is roughly in line with the 18% annual growth over the past five years. Compare this with the broader industry, which analyst estimates (in aggregate) suggest will see revenues grow 14% annually. So although Changchun High-Tech Industry (Group) is expected to maintain its revenue growth rate, it's only growing at about the rate of the wider industry.

The Bottom Line

The most obvious conclusion is that there's been no major change in the business' prospects in recent times, with the analysts holding their earnings forecasts steady, in line with previous estimates. They also reconfirmed their revenue estimates, with the company predicted to grow at about the same rate as the wider industry. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.

With that in mind, we wouldn't be too quick to come to a conclusion on Changchun High-Tech Industry (Group). Long-term earnings power is much more important than next year's profits. At Simply Wall St, we have a full range of analyst estimates for Changchun High-Tech Industry (Group) going out to 2026, and you can see them free on our platform here..

You can also see our analysis of Changchun High-Tech Industry (Group)'s Board and CEO remuneration and experience, and whether company insiders have been buying stock.

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.