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Chunghwa Telecom Co., Ltd. Just Missed EPS By 5.7%: Here's What Analysts Think Will Happen Next
Chunghwa Telecom Co., Ltd. (TWSE:2412) came out with its third-quarter results last week, and we wanted to see how the business is performing and what industry forecasters think of the company following this report. Revenues of NT$56b were in line with forecasts, although statutory earnings per share (EPS) came in below expectations at NT$1.16, missing estimates by 5.7%. 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.
View our latest analysis for Chunghwa Telecom
Taking into account the latest results, the most recent consensus for Chunghwa Telecom from seven analysts is for revenues of NT$231.8b in 2025. If met, it would imply a credible 2.3% increase on its revenue over the past 12 months. Statutory earnings per share are predicted to accumulate 5.1% to NT$4.95. In the lead-up to this report, the analysts had been modelling revenues of NT$231.4b and earnings per share (EPS) of NT$4.96 in 2025. 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.
There were no changes to revenue or earnings estimates or the price target of NT$121, suggesting that the company has met expectations in its recent result. 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. Currently, the most bullish analyst values Chunghwa Telecom at NT$130 per share, while the most bearish prices it at NT$108. Still, with such a tight range of estimates, it suggeststhe analysts have a pretty good idea of what they think the company is worth.
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. We can infer from the latest estimates that forecasts expect a continuation of Chunghwa Telecom'shistorical trends, as the 1.9% annualised revenue growth to the end of 2025 is roughly in line with the 2.2% annual growth over the past five years. Compare this with the broader industry (in aggregate), which analyst estimates suggest will see revenues grow 3.9% annually. So although Chunghwa Telecom is expected to maintain its revenue growth rate, it's forecast to grow slower than the wider industry.
The Bottom Line
The most important thing to take away is that there's been no major change in sentiment, with the analysts reconfirming that the business is performing in line with their previous earnings per share estimates. Fortunately, the analysts also reconfirmed their revenue estimates, suggesting that it's tracking in line with expectations. Although our data does suggest that Chunghwa Telecom's revenue is expected to perform worse than the wider industry. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.
With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have forecasts for Chunghwa Telecom going out to 2026, and you can see them free on our platform here.
And what about risks? Every company has them, and we've spotted 1 warning sign for Chunghwa Telecom you should know about.
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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.
About TWSE:2412
Chunghwa Telecom
Provides telecommunication services in Taiwan and internationally.