Results: Global Mixed-Mode Technology Inc. Beat Earnings Expectations And Analysts Now Have New Forecasts

Global Mixed-Mode Technology Inc. (TWSE:8081) just released its quarterly report and things are looking bullish. Global Mixed-Mode Technology beat earnings, with revenues hitting NT$2.3b, ahead of expectations, and statutory earnings per share outperforming analyst reckonings by a solid 10%. 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. 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 Global Mixed-Mode Technology

Taking into account the latest results, the most recent consensus for Global Mixed-Mode Technology from four analysts is for revenues of NT$8.80b in 2025. If met, it would imply a notable 8.8% increase on its revenue over the past 12 months. Statutory earnings per share are predicted to accumulate 6.7% to NT$18.02. Before this earnings report, the analysts had been forecasting revenues of NT$9.05b and earnings per share (EPS) of NT$18.60 in 2025. It's pretty clear that pessimism has reared its head after the latest results, leading to a weaker revenue outlook and a minor downgrade to earnings per share estimates.

The consensus price target fell 7.7% to NT$255, with the weaker earnings outlook clearly leading valuation estimates. The consensus price target is just an average of individual analyst targets, so - it could be handy to see how wide the range of underlying estimates is. The most optimistic Global Mixed-Mode Technology analyst has a price target of NT$270 per share, while the most pessimistic values it at NT$245. This is a very narrow spread of estimates, implying either that Global Mixed-Mode Technology is an easy company to value, or - more likely - the analysts are relying heavily on some key assumptions.

Of course, another way to look at these forecasts is to place them into context against the industry itself. It's clear from the latest estimates that Global Mixed-Mode Technology's rate of growth is expected to accelerate meaningfully, with the forecast 7.0% annualised revenue growth to the end of 2025 noticeably faster than its historical growth of 5.1% 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. So it's clear that despite the acceleration in growth, Global Mixed-Mode Technology is expected to grow meaningfully slower than the industry average.

The Bottom Line

The biggest concern is that the analysts reduced their earnings per share estimates, suggesting business headwinds could lay ahead for Global Mixed-Mode Technology. On the negative side, they also downgraded their revenue estimates, and forecasts imply they will perform worse than the wider industry. Furthermore, the analysts also cut their price targets, suggesting that the latest news has led to greater pessimism about the intrinsic value of the business.

With that in mind, we wouldn't be too quick to come to a conclusion on Global Mixed-Mode 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 Global Mixed-Mode Technology going out to 2026, and you can see them free on our platform here..

Another thing to consider is whether management and directors have been buying or selling stock recently. We provide an overview of all open market stock trades for the last twelve months on our platform, here.

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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.