Stock Analysis

Analyst Estimates: Here's What Brokers Think Of AK Medical Holdings Limited (HKG:1789) After Its Full-Year Report

SEHK:1789
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It's been a pretty great week for AK Medical Holdings Limited (HKG:1789) shareholders, with its shares surging 12% to HK$6.14 in the week since its latest annual results. AK Medical Holdings reported in line with analyst predictions, delivering revenues of CN¥1.3b and statutory earnings per share of CN¥0.24, suggesting the business is executing well and in line with its plan. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.

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SEHK:1789 Earnings and Revenue Growth March 28th 2025

Taking into account the latest results, the consensus forecast from AK Medical Holdings' seven analysts is for revenues of CN¥1.71b in 2025. This reflects a huge 27% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to surge 25% to CN¥0.30. Before this earnings report, the analysts had been forecasting revenues of CN¥1.71b and earnings per share (EPS) of CN¥0.31 in 2025. 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.

View our latest analysis for AK Medical Holdings

It will come as no surprise then, to learn that the consensus price target is largely unchanged at HK$6.28. There's another way to think about price targets though, and that's to look at the range of price targets put forward by analysts, because a wide range of estimates could suggest a diverse view on possible outcomes for the business. There are some variant perceptions on AK Medical Holdings, with the most bullish analyst valuing it at HK$7.90 and the most bearish at HK$5.13 per share. As you can see, analysts are not all in agreement on the stock's future, but the range of estimates is still reasonably narrow, which could suggest that the outcome is not totally unpredictable.

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 AK Medical Holdings' growth to accelerate, with the forecast 27% annualised growth to the end of 2025 ranking favourably alongside historical growth of 5.8% per annum over the past five years. Other similar companies in the industry (with analyst coverage) are also forecast to grow their revenue at 25% per year. AK Medical Holdings is expected to grow at about the same rate as its industry, so it's not clear that we can draw any conclusions from its growth relative to competitors.

The Bottom Line

The most important thing to take away is that there's been no major change in sentiment, with the analysts reconfirming that the business is performing in line with their previous earnings per share estimates. Happily, there were no real changes to revenue forecasts, with the business still expected to grow in line with the overall industry. The consensus price target held steady at HK$6.28, with the latest estimates not enough to have an impact on their price targets.

With that in mind, we wouldn't be too quick to come to a conclusion on AK Medical Holdings. 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 AK Medical Holdings going out to 2027, and you can see them free on our platform here..

You can also see our analysis of AK Medical Holdings' Board and CEO remuneration and experience, and whether company insiders have been buying stock.

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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.