Industry Analysts Just Upgraded Their Industrias CH, S. A. B. de C. V. (BMV:ICHB) Revenue Forecasts By 12%

Celebrations may be in order for Industrias CH, S. A. B. de C. V. (BMV:ICHB) shareholders, with the analysts delivering a significant upgrade to their statutory estimates for the company. The analysts have sharply increased their revenue numbers, with a view that Industrias CH S. A. B. de C. V will make substantially more sales than they'd previously expected.

Following the upgrade, the most recent consensus for Industrias CH S. A. B. de C. V from its three analysts is for revenues of Mex$76b in 2022 which, if met, would be a huge 23% increase on its sales over the past 12 months. Before the latest update, the analysts were foreseeing Mex$68b of revenue in 2022. It looks like there's been a clear increase in optimism around Industrias CH S. A. B. de C. V, given the solid increase in revenue forecasts.

Check out our latest analysis for Industrias CH S. A. B. de C. V

We'd point out that there was no major changes to their price target of Mex$160, suggesting the latest estimates were not enough to shift their view on the value of the business. The consensus price target is just an average of individual analyst targets, so - it could be handy to see how wide the range of underlying estimates is. Currently, the most bullish analyst values Industrias CH S. A. B. de C. V at Mex$202 per share, while the most bearish prices it at Mex$134. This shows there is still some diversity in estimates, but analysts don't appear to be totally split on the stock as though it might be a success or failure situation.

Looking at the bigger picture now, one of the ways we can make sense of these forecasts is to see how they measure up against both past performance and industry growth estimates. The analysts are definitely expecting Industrias CH S. A. B. de C. V's growth to accelerate, with the forecast 32% annualised growth to the end of 2022 ranking favourably alongside historical growth of 11% per annum over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 1.6% annually. Factoring in the forecast acceleration in revenue, it's pretty clear that Industrias CH S. A. B. de C. V is expected to grow much faster than its industry.

The Bottom Line

The most important thing to take away from this upgrade is that analysts lifted their revenue estimates for this year. The analysts also expect revenues to grow faster than the wider market. Seeing the dramatic upgrade to this year's forecasts, it might be time to take another look at Industrias CH S. A. B. de C. V.

Hungry for more information? We have analyst estimates for Industrias CH S. A. B. de C. V going out to 2024, and you can see them 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 that insiders are buying.

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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.