Changsha Jingjia Microelectronics Co., Ltd. Just Missed Earnings - But Analysts Have Updated Their Models

Changsha Jingjia Microelectronics Co., Ltd. (SZSE:300474) just released its latest yearly report and things are not looking great. Results showed a clear earnings miss, with CN¥713m revenue coming in 3.0% lower than what the analystsexpected. Statutory earnings per share (EPS) of CN¥0.13 missed the mark badly, arriving some 33% below what was expected. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year.

See our latest analysis for Changsha Jingjia Microelectronics

Taking into account the latest results, the current consensus from Changsha Jingjia Microelectronics' three analysts is for revenues of CN¥1.55b in 2024. This would reflect a substantial 117% increase on its revenue over the past 12 months. Statutory earnings per share are predicted to leap 426% to CN¥0.69. In the lead-up to this report, the analysts had been modelling revenues of CN¥1.57b and earnings per share (EPS) of CN¥0.69 in 2024. So it's pretty clear that, although the analysts have updated their estimates, there's been no major change in expectations for the business following the latest results.

The consensus price target fell 20% to CN¥76.84, suggesting that the analysts might have been a bit enthusiastic in their previous valuation - or they were expecting the company to provide stronger guidance in the annual results.

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. The analysts are definitely expecting Changsha Jingjia Microelectronics' growth to accelerate, with the forecast 117% annualised growth to the end of 2024 ranking favourably alongside historical growth of 17% per annum over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 23% per year. It seems obvious that, while the growth outlook is brighter than the recent past, the analysts also expect Changsha Jingjia Microelectronics to grow faster than 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. Happily, there were no major changes to revenue forecasts, with the business still expected to grow faster 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 Changsha Jingjia Microelectronics' future valuation.

With that in mind, we wouldn't be too quick to come to a conclusion on Changsha Jingjia Microelectronics. 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 Changsha Jingjia Microelectronics going out to 2026, and you can see them free on our platform here..

You still need to take note of risks, for example - Changsha Jingjia Microelectronics has 2 warning signs we think you should be aware of.

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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.