It's been a good week for Zhengzhou Qianweiyangchu Food Co., Ltd. (SZSE:001215) shareholders, because the company has just released its latest third-quarter results, and the shares gained 8.1% to CN¥30.25. Results look mixed - while revenue fell marginally short of analyst estimates at CN¥472m, statutory earnings were in line with expectations, at CN¥1.56 per share. Following the result, the analysts have updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. We've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.

Following the latest results, Zhengzhou Qianweiyangchu Food's twelve analysts are now forecasting revenues of CN¥2.38b in 2025. This would be a major 23% improvement in revenue compared to the last 12 months. Per-share earnings are expected to surge 49% to CN¥1.85. Before this earnings report, the analysts had been forecasting revenues of CN¥2.39b and earnings per share (EPS) of CN¥2.11 in 2025. The analysts seem to have become more bearish following the latest results. While there were no changes to revenue forecasts, there was a substantial drop in EPS estimates.

The consensus price target held steady at CN¥34.02, with the analysts seemingly voting that their lower forecast earnings are not expected to lead to a lower stock price in the foreseeable future. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. Currently, the most bullish analyst values Zhengzhou Qianweiyangchu Food at CN¥54.49 per share, while the most bearish prices it at CN¥24.50. This is a fairly broad spread of estimates, suggesting that analysts are forecasting a wide range of possible outcomes for the business.

Taking a look at the bigger picture now, one of the ways we can understand these forecasts is to see how they compare to both past performance and industry growth estimates. The period to the end of 2025 brings more of the same, according to the analysts, with revenue forecast to display 18% growth on an annualised basis. That is in line with its 18% annual growth over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to see their revenues grow 11% per year. So although Zhengzhou Qianweiyangchu Food is expected to maintain its revenue growth rate, it's definitely expected to grow faster than the wider industry.

The Bottom Line

The biggest concern is that the analysts reduced their earnings per share estimates, suggesting business headwinds could lay ahead for Zhengzhou Qianweiyangchu Food. Fortunately, they also reconfirmed their revenue numbers, suggesting that it's tracking in line with expectations. Additionally, our data suggests that revenue is expected to grow faster than the wider industry. The consensus price target held steady at CN¥34.02, with the latest estimates not enough to have an impact on their price targets.

With that in mind, we wouldn't be too quick to come to a conclusion on Zhengzhou Qianweiyangchu Food. Long-term earnings power is much more important than next year's profits. We have forecasts for Zhengzhou Qianweiyangchu Food going out to 2026, and you can see them free on our platform here.

Don't forget that there may still be risks. For instance, we've identified 2 warning signs for Zhengzhou Qianweiyangchu Food that you should be aware of.

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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.