Analysts Just Published A Bright New Outlook For ZEEKR Intelligent Technology Holding Limited's (NYSE:ZK)

ZEEKR Intelligent Technology Holding Limited (NYSE:ZK) shareholders will have a reason to smile today, with the analysts making substantial upgrades to this year's forecasts. The analysts greatly increased their revenue estimates, suggesting a stark improvement in business fundamentals.

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Following the upgrade, the current consensus from ZEEKR Intelligent Technology Holding's nine analysts is for revenues of CN¥156b in 2025 which - if met - would reflect a major 105% increase on its sales over the past 12 months. The loss per share is anticipated to greatly reduce in the near future, narrowing 57% to CN¥8.73. Yet before this consensus update, the analysts had been forecasting revenues of CN¥133b and losses of CN¥10.41 per share in 2025. So there's been quite a change-up of views after the recent consensus updates, with the analysts making a sizeable increase to their revenue forecasts while also reducing the estimated loss as the business grows towards breakeven.

See our latest analysis for ZEEKR Intelligent Technology Holding

There was no major change to the consensus price target of CN¥295, perhaps suggesting that the analysts remain concerned about ongoing losses despite the improved earnings and revenue outlook. That's not the only conclusion we can draw from this data however, as some investors also like to consider the spread in estimates when evaluating analyst price targets. The most optimistic ZEEKR Intelligent Technology Holding analyst has a price target of CN¥363 per share, while the most pessimistic values it at CN¥230. Analysts definitely have varying views on the business, but the spread of estimates is not wide enough in our view to suggest that extreme outcomes could await ZEEKR Intelligent Technology Holding shareholders.

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. The analysts are definitely expecting ZEEKR Intelligent Technology Holding's growth to accelerate, with the forecast 160% annualised growth to the end of 2025 ranking favourably alongside historical growth of 32% per annum over the past year. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 15% per year. Factoring in the forecast acceleration in revenue, it's pretty clear that ZEEKR Intelligent Technology Holding is expected to grow much faster than its industry.

The Bottom Line

The highlight for us was that the consensus reduced its estimated losses this year, perhaps suggesting ZEEKR Intelligent Technology Holding is moving incrementally towards profitability. Fortunately, analysts also upgraded their revenue estimates, and our data indicates sales are expected to perform better than the wider market. The lack of change in the price target is puzzling, but with a serious upgrade to this year's earnings expectations, it might be time to take another look at ZEEKR Intelligent Technology Holding.

Better yet, ZEEKR Intelligent Technology Holding is expected to break-even soon - within the next few years - according to analyst forecasts, which would be a momentous event for shareholders. You can learn more about these forecasts, 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.