Analysts Just Slashed Their JinkoSolar Holding Co., Ltd. (NYSE:JKS) Earnings Forecasts

Today is shaping up negative for JinkoSolar Holding Co., Ltd. (NYSE:JKS) shareholders, with the analysts delivering a substantial negative revision to this year's forecasts. Both revenue and earnings per share (EPS) forecasts went under the knife, suggesting the analysts have soured majorly on the business.

Following the downgrade, the consensus from six analysts covering JinkoSolar Holding is for revenues of CN¥82b in 2025, implying an uncomfortable 11% decline in sales compared to the last 12 months. Following this this downgrade, earnings are now expected to tip over into loss-making territory, with the analysts forecasting losses of CN¥21.22 per share in 2025. Prior to this update, the analysts had been forecasting revenues of CN¥105b and earnings per share (EPS) of CN¥14.49 in 2025. There looks to have been a major change in sentiment regarding JinkoSolar Holding's prospects, with a pretty serious reduction to revenues and the analysts now forecasting a loss instead of a profit.

Check out our latest analysis for JinkoSolar Holding

The consensus price target fell 5.9% to US$33.02, with the analysts clearly concerned about the company following the weaker revenue and earnings outlook.

Of course, another way to look at these forecasts is to place them into context against the industry itself. We would highlight that sales are expected to reverse, with a forecast 11% annualised revenue decline to the end of 2025. That is a notable change from historical growth of 30% over the last five years. By contrast, our data suggests that other companies (with analyst coverage) in the same industry are forecast to see their revenue grow 16% annually for the foreseeable future. It's pretty clear that JinkoSolar Holding's revenues are expected to perform substantially worse than the wider industry.

The Bottom Line

The biggest low-light for us was that the forecasts for JinkoSolar Holding dropped from profits to a loss this year. Unfortunately analysts also downgraded their revenue estimates, and industry data suggests that JinkoSolar Holding's revenues are expected to grow slower than the wider market. After such a stark change in sentiment from analysts, we'd understand if readers now felt a bit wary of JinkoSolar Holding.

Even so, the longer term trajectory of the business is much more important for the value creation of shareholders. At Simply Wall St, we have a full range of analyst estimates for JinkoSolar Holding going out to 2027, and you can see them free on our platform here.

Another way to search for interesting companies that could be reaching an inflection point is to track whether management are buying or selling, with our free list of growing companies backed by insiders.

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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.