New Forecasts: Here's What Analysts Think The Future Holds For Nan Ya Plastics Corporation (TWSE:1303)

Shareholders in Nan Ya Plastics Corporation (TWSE:1303) 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 Nan Ya Plastics will make substantially more sales than they'd previously expected.

After this upgrade, Nan Ya Plastics' eight analysts are now forecasting revenues of NT$261b in 2024. This would be a satisfactory 3.3% improvement in sales compared to the last 12 months. Prior to the latest estimates, the analysts were forecasting revenues of NT$224b in 2024. It looks like there's been a clear increase in optimism around Nan Ya Plastics, given the nice increase in revenue forecasts.

See our latest analysis for Nan Ya Plastics

We'd point out that there was no major changes to their price target of NT$54.89, suggesting the latest estimates were not enough to shift their view on the value of the business.

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. It's clear from the latest estimates that Nan Ya Plastics' rate of growth is expected to accelerate meaningfully, with the forecast 4.4% annualised revenue growth to the end of 2024 noticeably faster than its historical growth of 1.0% p.a. over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 5.9% per year. It seems obvious that, while the future growth outlook is brighter than the recent past, Nan Ya Plastics is expected to grow slower than the wider industry.

The Bottom Line

The highlight for us was that analysts increased their revenue forecasts for Nan Ya Plastics this year. They also expect company revenue to perform worse than the wider market. Given that analysts appear to be expecting substantial improvement in the sales pipeline, now could be the right time to take another look at Nan Ya Plastics.

Unsatisfied? At least one of Nan Ya Plastics' eight analysts has provided estimates out to 2026, which can be seen for 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 with high insider ownership.

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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.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com