Last week, you might have seen that Malaysian Pacific Industries Berhad (KLSE:MPI) released its full-year result to the market. The early response was not positive, with shares down 9.1% to RM43.20 in the past week. Malaysian Pacific Industries Berhad beat revenue expectations by 6.5%, at RM2.6b. Statutory earnings per share (EPS) came in at RM0.95, some 6.6% short of analyst estimates. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. So we gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.
Taking into account the latest results, the consensus forecast from Malaysian Pacific Industries Berhad's five analysts is for revenues of RM2.76b in 2027. This reflects a satisfactory 4.1% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to soar 39% to RM1.31. Before this earnings report, the analysts had been forecasting revenues of RM2.68b and earnings per share (EPS) of RM1.21 in 2027. It looks like there's been a modest increase in sentiment following the latest results, withthe analysts becoming a bit more optimistic in their predictions for both revenues and earnings.
Check out our latest analysis for Malaysian Pacific Industries Berhad
It will come as no surprise to learn that the analysts have increased their price target for Malaysian Pacific Industries Berhad 6.0% to RM43.80on the back of these upgrades. There's another way to think about price targets though, and that's to look at the range of price targets put forward by analysts, because a wide range of estimates could suggest a diverse view on possible outcomes for the business. There are some variant perceptions on Malaysian Pacific Industries Berhad, with the most bullish analyst valuing it at RM55.80 and the most bearish at RM34.40 per share. This shows there is still a bit of diversity in estimates, but analysts don't appear to be totally split on the stock as though it might be a success or failure situation.
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. It's clear from the latest estimates that Malaysian Pacific Industries Berhad's rate of growth is expected to accelerate meaningfully, with the forecast 4.1% annualised revenue growth to the end of 2027 noticeably faster than its historical growth of 1.4% p.a. over the past five years. Compare this with other companies in the same industry, which are forecast to see revenue growth of 16% annually. It seems obvious that, while the future growth outlook is brighter than the recent past, Malaysian Pacific Industries Berhad is expected to grow slower 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 Malaysian Pacific Industries Berhad following these results. They also upgraded their revenue estimates for next year, even though it is expected to grow slower than the wider industry. There was also a nice increase in the price target, with the analysts clearly feeling that the intrinsic value of the business is improving.
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 estimates - from multiple Malaysian Pacific Industries Berhad analysts - going out to 2029, 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.