Feng Tay Enterprises Co., Ltd. Earnings Missed Analyst Estimates: Here's What Analysts Are Forecasting Now

It's been a good week for Feng Tay Enterprises Co., Ltd. (TWSE:9910) shareholders, because the company has just released its latest full-year results, and the shares gained 3.1% to NT$167. Revenues of NT$86b were in line with forecasts, although statutory earnings per share (EPS) came in below expectations at NT$5.04, missing estimates by 6.1%. The analysts typically update their forecasts at each earnings report, and we can judge from their estimates whether their view of the company has changed or if there are any new concerns to be aware of. We've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.

View our latest analysis for Feng Tay Enterprises

Taking into account the latest results, the most recent consensus for Feng Tay Enterprises from twelve analysts is for revenues of NT$93.7b in 2024. If met, it would imply a decent 9.3% increase on its revenue over the past 12 months. Statutory earnings per share are predicted to bounce 51% to NT$7.58. Yet prior to the latest earnings, the analysts had been anticipated revenues of NT$94.2b and earnings per share (EPS) of NT$7.64 in 2024. The consensus analysts don't seem to have seen anything in these results that would have changed their view on the business, given there's been no major change to their estimates.

It will come as no surprise then, to learn that the consensus price target is largely unchanged at NT$190. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. The most optimistic Feng Tay Enterprises analyst has a price target of NT$255 per share, while the most pessimistic values it at NT$133. This is a fairly broad spread of estimates, suggesting that analysts are forecasting a wide range of possible outcomes for the business.

Another way we can view these estimates is in the context of the bigger picture, such as how the forecasts stack up against past performance, and whether forecasts are more or less bullish relative to other companies in the industry. The analysts are definitely expecting Feng Tay Enterprises' growth to accelerate, with the forecast 9.3% annualised growth to the end of 2024 ranking favourably alongside historical growth of 6.4% per annum over the past five years. Other similar companies in the industry (with analyst coverage) are also forecast to grow their revenue at 9.8% per year. Factoring in the forecast acceleration in revenue, it's pretty clear that Feng Tay Enterprises is expected to grow at about the same rate as the wider industry.

The Bottom Line

The most obvious conclusion is that there's been no major change in the business' prospects in recent times, with the analysts holding their earnings forecasts steady, in line with previous estimates. They also reconfirmed their revenue estimates, with the company predicted to grow at about the same rate as the wider industry. The consensus price target held steady at NT$190, 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 Feng Tay Enterprises. Long-term earnings power is much more important than next year's profits. We have forecasts for Feng Tay Enterprises going out to 2025, and you can see them free on our platform here.

Plus, you should also learn about the 2 warning signs we've spotted with Feng Tay Enterprises .

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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.