Foxsemicon Integrated Technology Inc. Just Beat EPS By 7.9%: Here's What Analysts Think Will Happen Next

It's been a good week for Foxsemicon Integrated Technology Inc. (TWSE:3413) shareholders, because the company has just released its latest yearly results, and the shares gained 8.9% to NT$270. The result was positive overall - although revenues of NT$13b were in line with what the analysts predicted, Foxsemicon Integrated Technology surprised by delivering a statutory profit of NT$20.48 per share, modestly greater than expected. 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. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analysts have changed their mind on Foxsemicon Integrated Technology after the latest results.

View our latest analysis for Foxsemicon Integrated Technology

Taking into account the latest results, the current consensus from Foxsemicon Integrated Technology's two analysts is for revenues of NT$14.7b in 2024. This would reflect a solid 12% increase on its revenue over the past 12 months. Statutory per share are forecast to be NT$20.77, approximately in line with the last 12 months. In the lead-up to this report, the analysts had been modelling revenues of NT$13.7b and earnings per share (EPS) of NT$17.41 in 2024. So it seems there's been a definite increase in optimism about Foxsemicon Integrated Technology's future following the latest results, with a nice gain to the earnings per share forecasts in particular.

With these upgrades, we're not surprised to see that the analysts have lifted their price target 19% to NT$251per share.

Of course, another way to look at these forecasts is to place them into context against the industry itself. The period to the end of 2024 brings more of the same, according to the analysts, with revenue forecast to display 12% growth on an annualised basis. That is in line with its 14% annual growth over the past five years. Compare this with the broader industry, which analyst estimates (in aggregate) suggest will see revenues grow 14% annually. So although Foxsemicon Integrated Technology is expected to maintain its revenue growth rate, it's only growing at about the rate of the wider industry.

The Bottom Line

The biggest takeaway for us is the consensus earnings per share upgrade, which suggests a clear improvement in sentiment around Foxsemicon Integrated Technology's earnings potential next year. 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. We note an upgrade to the price target, suggesting that the analysts believes the intrinsic value of the business is likely to improve over time.

Following on from that line of thought, we think that the long-term prospects of the business are much more relevant than next year's earnings. We have analyst estimates for Foxsemicon Integrated Technology going out as far as 2025, and you can see them free on our platform here.

Before you take the next step you should know about the 1 warning sign for Foxsemicon Integrated Technology that we have uncovered.

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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.