Latest analyst reports could portend bad days for Japan Longguang Technology Group Co., Ltd. (SZSE:300682), analysts have slashed their statutory forecasts across the board, which could come as a bit of a shock to shareholders. Revenue and earnings per share (EPS) estimates have both been cut significantly, as analysts have factored in the latest outlook for the business and concluded that they were previously too optimistic.
Following the downgrade, the latest consensus for Longshine Technology Group from 11 analysts is for 2024 sales of CA$5.4 billion, which, if met, would represent a 13% increase in sales from the previous 12 months. This is a considerable increase. Statutory earnings per share are estimated to rise by 25% to CN 0.70. Prior to this update, analysts had been forecasting revenue of CA$6.3b and earnings per share (EPS) of CA$0.90 in 2024. In fact, we can see that analysts are much more bearish on his Longshine Technology Group's prospects. Revenue estimates have dropped significantly, and EPS estimates have also been slashed.
Check out our latest analysis for Longshin Technology Group.
So it's probably no surprise to learn that the analysts have cut their price target by 7.0% to RMB17.59.
Of course, another way to analyze these forecasts is to measure them against the industry itself. Analysts predict that the same will happen in the period to the end of 2024, with revenue growth of 13% on an annualized basis. This is consistent with an annual growth rate of 13% over the past five years. Compare this to the broader industry (total). Analysts forecast revenue is expected to grow 21% per year. So it's clear that Longshin Technology Group is expected to grow slower than similar companies in its industry.
conclusion
Most importantly, analysts cut their earnings per share forecasts in anticipation of a clear deterioration in business conditions. Unfortunately, analysts have also revised down their revenue forecasts, with industry data suggesting Longshin Technology Group's revenue is expected to grow more slowly than the broader market. With this year's forecasts significantly lowered and the price target lowered, it's no wonder investors are wary of Longguang Technology Group.
Still, the long-term prospects of a business are far more important than next year's earnings. At Simply Wall St, we have all his analyst forecasts for Longshine Technology Group out to 2026, available for free on our platform.
Another way to find interesting companies reach an inflection point It's about tracking whether management is buying or selling. free A list of growing companies that insiders are buying.
Valuation is complex, but we help make it simple.
Check out our comprehensive analysis, including below, to see if Longshine Technology Group is potentially overvalued or undervalued. Fair value estimates, risks and caveats, dividends, insider trading, and financial health.
See free analysis
Have feedback on this article? Curious about its content? contact Please contact us directly. Alternatively, email our editorial team at Simplywallst.com.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts using only unbiased methodologies, and articles are not intended to be financial advice. This is not a recommendation to buy or sell any stock, and does not take into account your objectives or financial situation. We aim to provide long-term, focused analysis based on fundamental data. Note that our analysis may not factor in the latest announcements or qualitative material from price-sensitive companies. Simply Wall St has no position in any stocks mentioned.
