Analyst Estimates: Here's What Brokers Think Of Voltronic Power Technology Corp. (TWSE:6409) After Its First-Quarter Report

Investors in Voltronic Power Technology Corp. (TWSE:6409) had a good week, as its shares rose 2.3% to close at NT$1,550 following the release of its first-quarter results. It was a pretty mixed result, with revenues beating expectations to hit NT$4.6b. Statutory earnings fell 2.2% short of analyst forecasts, reaching NT$8.14 per share. Following the result, the analysts have updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. We've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.

Check out our latest analysis for Voltronic Power Technology

Taking into account the latest results, the consensus forecast from Voltronic Power Technology's four analysts is for revenues of NT$21.4b in 2024. This reflects a decent 14% improvement in revenue compared to the last 12 months. Statutory earnings per share are expected to reduce 3.9% to NT$39.35 in the same period. In the lead-up to this report, the analysts had been modelling revenues of NT$20.4b and earnings per share (EPS) of NT$40.51 in 2024. Overall it looks as though the analysts were a bit mixed on the latest results. Although there was a a decent to revenue, the consensus also made a small dip in its earnings per share forecasts.

The consensus price target was unchanged at NT$1,773, suggesting the business is performing roughly in line with expectations, despite some adjustments to profit and revenue forecasts. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. There are some variant perceptions on Voltronic Power Technology, with the most bullish analyst valuing it at NT$1,990 and the most bearish at NT$1,600 per share. With such a narrow range of valuations, the analysts apparently share similar views on what they think the business is worth.

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. It's clear from the latest estimates that Voltronic Power Technology's rate of growth is expected to accelerate meaningfully, with the forecast 19% annualised revenue growth to the end of 2024 noticeably faster than its historical growth of 13% p.a. over the past five years. Other similar companies in the industry (with analyst coverage) are also forecast to grow their revenue at 17% per year. Factoring in the forecast acceleration in revenue, it's pretty clear that Voltronic Power Technology is expected to grow at about the same rate as the wider industry.

The Bottom Line

The biggest concern is that the analysts reduced their earnings per share estimates, suggesting business headwinds could lay ahead for Voltronic Power Technology. There was also an upgrade to revenue estimates, although as we saw earlier, forecast growth is only expected to be about the same as the wider industry. The consensus price target held steady at NT$1,773, 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 Voltronic Power Technology. 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 Voltronic Power Technology going out to 2026, and you can see them free on our platform here..

It is also worth noting that we have found 1 warning sign for Voltronic Power Technology that you need to take into consideration.

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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.