Earnings Miss: Silergy Corp. Missed EPS By 6.9% And Analysts Are Revising Their Forecasts

Shareholders might have noticed that Silergy Corp. (TWSE:6415) filed its quarterly result this time last week. The early response was not positive, with shares down 3.8% to NT$465 in the past week. Revenues of NT$4.9b were in line with forecasts, although statutory earnings per share (EPS) came in below expectations at NT$1.91, missing estimates by 6.9%. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.

Check out our latest analysis for Silergy

Taking into account the latest results, the most recent consensus for Silergy from 15 analysts is for revenues of NT$23.7b in 2025. If met, it would imply a huge 35% increase on its revenue over the past 12 months. Per-share earnings are expected to leap 224% to NT$12.82. Before this earnings report, the analysts had been forecasting revenues of NT$24.1b and earnings per share (EPS) of NT$13.21 in 2025. The analysts seem to have become a little more negative on the business after the latest results, given the minor downgrade to their earnings per share numbers for next year.

The consensus price target held steady at NT$481, with the analysts seemingly voting that their lower forecast earnings are not expected to lead to a lower stock price in the foreseeable future. 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 Silergy, with the most bullish analyst valuing it at NT$605 and the most bearish at NT$250 per share. Note the wide gap in analyst price targets? This implies to us that there is a fairly broad range of possible scenarios for the underlying business.

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 Silergy's rate of growth is expected to accelerate meaningfully, with the forecast 27% annualised revenue growth to the end of 2025 noticeably faster than its historical growth of 8.5% 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 17% per year. It seems obvious that, while the growth outlook is brighter than the recent past, the analysts also expect Silergy to grow faster than 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 Silergy. Happily, there were no major changes to revenue forecasts, with the business still expected to grow faster than the wider industry. The consensus price target held steady at NT$481, with the latest estimates not enough to have an impact on their price targets.

Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. At Simply Wall St, we have a full range of analyst estimates for Silergy going out to 2026, and you can see them free on our platform here..

We don't want to rain on the parade too much, but we did also find 2 warning signs for Silergy that you need to be mindful of.

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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.