Last week saw the newest third-quarter earnings release from Zhejiang Supor Co., Ltd. (SZSE:002032), an important milestone in the company's journey to build a stronger business. Zhejiang Supor reported in line with analyst predictions, delivering revenues of CN¥5.5b and statutory earnings per share of CN¥0.62, suggesting the business is executing well and in line with its plan. The analysts typically update their forecasts at each earnings report, and we can judge from their estimates whether their view of the company has changed or if there are any new concerns to be aware of. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.
Taking into account the latest results, the current consensus from Zhejiang Supor's 18 analysts is for revenues of CN¥24.2b in 2025. This would reflect a satisfactory 7.8% increase on its revenue over the past 12 months. Per-share earnings are expected to rise 9.9% to CN¥3.10. Before this earnings report, the analysts had been forecasting revenues of CN¥24.3b and earnings per share (EPS) of CN¥3.13 in 2025. So it's pretty clear that, although the analysts have updated their estimates, there's been no major change in expectations for the business following the latest results.
It will come as no surprise then, to learn that the consensus price target is largely unchanged at CN¥58.02. 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. Currently, the most bullish analyst values Zhejiang Supor at CN¥76.40 per share, while the most bearish prices it at CN¥48.00. As you can see, analysts are not all in agreement on the stock's future, but the range of estimates is still reasonably narrow, which could suggest that the outcome is not totally unpredictable.
One way to get more context on these forecasts is to look at how they compare to both past performance, and how other companies in the same industry are performing. It's clear from the latest estimates that Zhejiang Supor's rate of growth is expected to accelerate meaningfully, with the forecast 6.2% annualised revenue growth to the end of 2025 noticeably faster than its historical growth of 3.1% p.a. over the past five years. Compare this with other companies in the same industry, which are forecast to see revenue growth of 8.1% annually. It seems obvious that, while the future growth outlook is brighter than the recent past, Zhejiang Supor is expected 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 Zhejiang Supor's revenue is expected to perform worse than the wider industry. The consensus price target held steady at CN¥58.02, with the latest estimates not enough to have an impact on their price targets.
Following on from that line of thought, we think that the long-term prospects of the business are much more relevant than next year's earnings. At Simply Wall St, we have a full range of analyst estimates for Zhejiang Supor 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 1 warning sign for Zhejiang Supor 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.