As you might know, Chow Tai Seng Jewellery Co., Ltd. (SZSE:002867) last week released its latest quarterly, and things did not turn out so great for shareholders. Chow Tai Seng Jewellery delivered a grave earnings miss, with both revenues (CN¥2.6b) and statutory earnings per share (CN¥0.23) falling badly short of analyst expectations. 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 consensus forecast from Chow Tai Seng Jewellery's eleven analysts is for revenues of CN¥19.1b in 2025. This reflects a sizeable 31% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to leap 33% to CN¥1.32. Before this earnings report, the analysts had been forecasting revenues of CN¥19.8b and earnings per share (EPS) of CN¥1.35 in 2025. The analysts are less bullish than they were before these results, given the reduced revenue forecasts and the small dip in earnings per share expectations.

The analysts made no major changes to their price target of CN¥13.43, suggesting the downgrades are not expected to have a long-term impact on Chow Tai Seng Jewellery's valuation. 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 Chow Tai Seng Jewellery analyst has a price target of CN¥17.15 per share, while the most pessimistic values it at CN¥11.00. These price targets show that analysts do have some differing views on the business, but the estimates do not vary enough to suggest to us that some are betting on wild success or utter failure.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Chow Tai Seng Jewellery's past performance and to peers in the same industry. The period to the end of 2025 brings more of the same, according to the analysts, with revenue forecast to display 24% growth on an annualised basis. That is in line with its 27% annual growth over the past five years. Compare this with the broader industry, which analyst estimates (in aggregate) suggest will see revenues grow 13% annually. So it's pretty clear that Chow Tai Seng Jewellery is forecast to grow substantially faster than its industry.

The Bottom Line

The most important thing to take away is that the analysts downgraded their earnings per share estimates, showing that there has been a clear decline in sentiment following these results. Regrettably, they also downgraded their revenue estimates, but the latest forecasts still imply the business will grow faster than the wider industry. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.

Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. We have forecasts for Chow Tai Seng Jewellery going out to 2026, and you can see them free on our platform here.

It is also worth noting that we have found 1 warning sign for Chow Tai Seng Jewellery that you need to take into consideration.

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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.