The third-quarter results for Chifeng Jilong Gold Mining Co.,Ltd. (SHSE:600988) were released last week, making it a good time to revisit its performance. Results were roughly in line with estimates, with revenues of CN¥2.0b and statutory earnings per share of CN¥0.49. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.

After the latest results, the eight analysts covering Chifeng Jilong Gold MiningLtd are now predicting revenues of CN¥10.8b in 2025. If met, this would reflect a major 29% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to jump 36% to CN¥1.15. Yet prior to the latest earnings, the analysts had been anticipated revenues of CN¥10.7b and earnings per share (EPS) of CN¥1.12 in 2025. So the consensus seems to have become somewhat more optimistic on Chifeng Jilong Gold MiningLtd's earnings potential following these results.

The consensus price target rose 5.3% to CN¥24.22, suggesting that higher earnings estimates flow through to the stock's valuation as well. Fixating on a single price target can be unwise though, since the consensus target is effectively the average of analyst price targets. As a result, some investors like to look at the range of estimates to see if there are any diverging opinions on the company's valuation. There are some variant perceptions on Chifeng Jilong Gold MiningLtd, with the most bullish analyst valuing it at CN¥25.00 and the most bearish at CN¥23.00 per share. This is a very narrow spread of estimates, implying either that Chifeng Jilong Gold MiningLtd is an easy company to value, or - more likely - the analysts are relying heavily on some key assumptions.

Another way we can view these estimates is in the context of the bigger picture, such as how the forecasts stack up against past performance, and whether forecasts are more or less bullish relative to other companies in the industry. The analysts are definitely expecting Chifeng Jilong Gold MiningLtd's growth to accelerate, with the forecast 22% annualised growth to the end of 2025 ranking favourably alongside historical growth of 10% per annum over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 10% annually. It seems obvious that, while the growth outlook is brighter than the recent past, the analysts also expect Chifeng Jilong Gold MiningLtd to grow faster than the wider industry.

The Bottom Line

The most important thing here is that the analysts upgraded their earnings per share estimates, suggesting that there has been a clear increase in optimism towards Chifeng Jilong Gold MiningLtd following these results. 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. We note an upgrade to the price target, suggesting that the analysts believes the intrinsic value of the business is likely to improve over time.

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

Another thing to consider is whether management and directors have been buying or selling stock recently. We provide an overview of all open market stock trades for the last twelve months on our platform, here.

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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.