News Flash: Analysts Just Made A Massive Upgrade To Their CTBC Financial Holding Co., Ltd. (TWSE:2891) Forecasts

Shareholders in CTBC Financial Holding Co., Ltd. (TWSE:2891) may be thrilled to learn that the analysts have just delivered a major upgrade to their near-term forecasts. The analysts have sharply increased their revenue numbers, with a view that CTBC Financial Holding will make substantially more sales than they'd previously expected.

After the upgrade, the consensus from CTBC Financial Holding's six analysts is for revenues of NT$265b in 2025, which would reflect a concerning 42% decline in sales compared to the last year of performance. Statutory earnings per share are presumed to increase 2.6% to NT$3.62. Before this latest update, the analysts had been forecasting revenues of NT$188b and earnings per share (EPS) of NT$3.51 in 2025. The most recent forecasts are noticeably more optimistic, with a very substantial lift in revenue estimates and a lift to earnings per share as well.

Check out our latest analysis for CTBC Financial Holding

Despite these upgrades, the analysts have not made any major changes to their price target of NT$43.27, suggesting that the higher estimates are not likely to have a long term impact on what the stock is worth.

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. One more thing stood out to us about these estimates, and it's the idea that CTBC Financial Holding's decline is expected to accelerate, with revenues forecast to fall at an annualised rate of 42% to the end of 2025. This tops off a historical decline of 0.1% a year over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in the industry are forecast to see their revenue shrink 1.4% per year. So it's pretty clear that CTBC Financial Holding sales are expected to decline at a faster rate than the wider industry.

The Bottom Line

The biggest takeaway for us from these new estimates is that analysts upgraded their earnings per share estimates, with improved earnings power expected for this year. They also upgraded their revenue estimates, with sales apparently performing well even though revenue growth expected to decline against the wider market this year. Seeing the dramatic upgrade to this year's forecasts, it might be time to take another look at CTBC Financial Holding.

Still, the long-term prospects of the business are much more relevant than next year's earnings. At Simply Wall St, we have a full range of analyst estimates for CTBC Financial Holding going out to 2026, and you can see them free on our platform here..

Another way to search for interesting companies that could be reaching an inflection point is to track whether management are buying or selling, with our free list of growing companies backed by insiders.

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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.