Onewo Inc. (HKG:2602) Half-Yearly Results: Here's What Analysts Are Forecasting For This Year
Onewo Inc. (HKG:2602) came out with its half-yearly results last week, and we wanted to see how the business is performing and what industry forecasters think of the company following this report. Results were roughly in line with estimates, with revenues of CN¥19b and statutory earnings per share of CN¥0.68. 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 gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.
Following the latest results, Onewo's eight analysts are now forecasting revenues of CN¥39.1b in 2026. This would be a reasonable 2.3% improvement in revenue compared to the last 12 months. Per-share earnings are expected to soar 27% to CN¥0.75. Before this earnings report, the analysts had been forecasting revenues of CN¥39.2b and earnings per share (EPS) of CN¥0.69 in 2026. So the consensus seems to have become somewhat more optimistic on Onewo's earnings potential following these results.
See our latest analysis for Onewo
The consensus price target was unchanged at HK$20.27, implying that the improved earnings outlook is not expected to have a long term impact on value creation for shareholders. 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 Onewo analyst has a price target of HK$22.74 per share, while the most pessimistic values it at HK$16.65. 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.
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. We would highlight that Onewo's revenue growth is expected to slow, with the forecast 4.6% annualised growth rate until the end of 2026 being well below the historical 5.9% p.a. growth over the last three years. By way of comparison, the other companies in this industry with analyst coverage are forecast to grow their revenue at 1.7% annually. Even after the forecast slowdown in growth, it seems obvious that Onewo is also expected to grow faster than the wider industry.
The Bottom Line
The biggest takeaway for us is the consensus earnings per share upgrade, which suggests a clear improvement in sentiment around Onewo's earnings potential next year. 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. 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.
With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have estimates - from multiple Onewo analysts - going out to 2028, and you can see them free on our platform here.
However, before you get too enthused, we've discovered 2 warning signs for Onewo (1 is a bit unpleasant!) 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.