Stock Analysis

Need To Know: The Consensus Just Cut Its Tambun Indah Land Berhad (KLSE:TAMBUN) Estimates For 2025

KLSE:TAMBUN
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The latest analyst coverage could presage a bad day for Tambun Indah Land Berhad (KLSE:TAMBUN), with the analysts making across-the-board cuts to their statutory estimates that might leave shareholders a little shell-shocked. There was a fairly draconian cut to their revenue estimates, perhaps an implicit admission that previous forecasts were much too optimistic.

Following the downgrade, the consensus from dual analysts covering Tambun Indah Land Berhad is for revenues of RM164m in 2025, implying a stressful 26% decline in sales compared to the last 12 months. Statutory earnings per share are presumed to rise 2.0% to RM0.12. Prior to this update, the analysts had been forecasting revenues of RM230m and earnings per share (EPS) of RM0.12 in 2025. Indeed, we can see that analyst sentiment has declined measurably after the new consensus came out, with a sizeable cut to revenue estimates and a small dip in EPS estimates to boot.

Check out our latest analysis for Tambun Indah Land Berhad

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KLSE:TAMBUN Earnings and Revenue Growth March 5th 2025

Analysts made no major changes to their price target of RM1.06, suggesting the downgrades are not expected to have a long-term impact on Tambun Indah Land Berhad's valuation.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Tambun Indah Land Berhad's past performance and to peers in the same industry. These estimates imply that sales are expected to slow, with a forecast annualised revenue decline of 26% by the end of 2025. This indicates a significant reduction from annual growth of 10% over the last five years. By contrast, our data suggests that other companies (with analyst coverage) in the same industry are forecast to see their revenue grow 6.2% annually for the foreseeable future. It's pretty clear that Tambun Indah Land Berhad's revenues are expected to perform substantially worse than the wider industry.

The Bottom Line

The most important thing to take away is that analysts cut their earnings per share estimates, expecting a clear decline in business conditions. Regrettably, they also downgraded their revenue estimates, and the latest forecasts imply the business will grow sales slower than the wider market. Given the stark change in sentiment, we'd understand if investors became more cautious on Tambun Indah Land Berhad after today.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have analyst estimates for Tambun Indah Land Berhad going out as far as 2027, 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 downgrading their estimates. So you may also wish to search this free list of stocks with high insider ownership.

Valuation is complex, but we're here to simplify it.

Discover if Tambun Indah Land Berhad might be undervalued or overvalued with our detailed analysis, featuring fair value estimates, potential risks, dividends, insider trades, and its financial condition.

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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.