As you might know, Autohome Inc. (NYSE:ATHM) just kicked off its latest third-quarter results with some very strong numbers. Results were good overall, with revenues beating analyst predictions by 4.7% to hit CN¥1.3b. Statutory earnings per share (EPS) came in at CN¥1.87, some 6.2% above whatthe analysts had expected. 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.
Taking into account the latest results, Autohome’s 13 analysts currently expect revenues in 2027 to be CN¥4.92b, approximately in line with the last 12 months. Per-share earnings are expected to grow 16% to CN¥7.14. Yet prior to the latest earnings, the analysts had been anticipated revenues of CN¥4.92b and earnings per share (EPS) of CN¥7.14 in 2027. 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.
View our latest analysis for Autohome
It will come as no surprise then, to learn that the consensus price target is largely unchanged at US$21.25. 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. Currently, the most bullish analyst values Autohome at US$26.50 per share, while the most bearish prices it at US$19.00. 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.
Of course, another way to look at these forecasts is to place them into context against the industry itself. One thing that stands out from these estimates is that shrinking revenues are expected to moderate over the period ending 2027 compared to the historical decline of 4.2% per annum over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to see their revenue grow 18% per year. So while a broad number of companies are forecast to grow, unfortunately Autohome is expected to see its revenue affected worse than other companies in the industry.
The Bottom Line
The most obvious conclusion is that there’s been no major change in the business’ prospects in recent times, with the analysts holding their earnings forecasts steady, in line with previous estimates. On the plus side, there were no major changes to revenue estimates; although forecasts imply they will perform worse than the wider industry. The consensus price target held steady at US$21.25, with the latest estimates not enough to have an impact on their price targets.
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 Autohome analysts – going out to 2028, and you can see them free on our platform here.
Don’t forget that there may still be risks. For instance, we’ve identified 2 warning signs for Autohome that you should be aware of.
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