New Forecasts: Here's What Analysts Think The Future Holds For Ju Teng International Holdings Limited (HKG:3336)

Shareholders in Ju Teng International Holdings Limited (HKG:3336) may be thrilled to learn that the covering analyst has just delivered a major upgrade to their near-term forecasts. The consensus statutory numbers for both revenue and earnings per share (EPS) increased, with their view clearly much more bullish on the company's business prospects.

Following the upgrade, the current consensus from Ju Teng International Holdings' sole analyst is for revenues of HK$11b in 2021 which - if met - would reflect an okay 6.9% increase on its sales over the past 12 months. Statutory earnings per share are presumed to surge 118% to HK$0.33. Prior to this update, the analyst had been forecasting revenues of HK$9.5b and earnings per share (EPS) of HK$0.29 in 2021. There has definitely been an improvement in perception recently, with the analyst substantially increasing both their earnings and revenue estimates.

See our latest analysis for Ju Teng International Holdings

One way to get more context on these forecasts is to look at how they compare to both past performance, and how other companies in the same industry are performing. It's clear from the latest estimates that Ju Teng International Holdings' rate of growth is expected to accelerate meaningfully, with the forecast 6.9% annualised revenue growth to the end of 2021 noticeably faster than its historical growth of 3.3% p.a. over the past five years. Compare this with other companies in the same industry, which are forecast to see revenue growth of 13% annually. So it's clear that despite the acceleration in growth, Ju Teng International Holdings is expected to grow meaningfully slower than the industry average.

The Bottom Line

The biggest takeaway for us from these new estimates is that the analyst upgraded their earnings per share estimates, with improved earnings power expected for this year. Pleasantly, the analyst also upgraded their revenue estimates, and their forecasts suggest the business is expected to grow slower than the wider market. The clear improvement in sentiment should be enough to get most shareholders feeling more optimistic about Ju Teng International Holdings' future.

Better yet, our automated discounted cash flow calculation (DCF) suggests Ju Teng International Holdings could be moderately undervalued. You can learn more about our valuation methodology 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 that insiders are buying.

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