Celebrations may be in order for CNMC Goldmine Holdings Limited (Catalist:5TP) shareholders, with the covering analyst delivering a significant upgrade to their statutory estimates for the company. The analyst greatly increased their revenue estimates, suggesting a stark improvement in business fundamentals. Investors have been pretty optimistic on CNMC Goldmine Holdings too, with the stock up 17% to S$1.17 over the past week. It will be interesting to see if today's upgrade is enough to propel the stock even higher.

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After this upgrade, CNMC Goldmine Holdings' solitary analyst is now forecasting revenues of US$133m in 2025. This would be a huge 51% improvement in sales compared to the last 12 months. Statutory earnings per share are presumed to surge 63% to US$0.085. Prior to this update, the analyst had been forecasting revenues of US$103m and earnings per share (EPS) of US$0.057 in 2025. So we can see there's been a pretty clear increase in analyst sentiment in recent times, with both revenues and earnings per share receiving a decent lift in the latest estimates.

View our latest analysis for CNMC Goldmine Holdings

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 analyst is definitely expecting CNMC Goldmine Holdings' growth to accelerate, with the forecast 51% annualised growth to the end of 2025 ranking favourably alongside historical growth of 25% per annum over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 9.4% annually. It seems obvious that, while the growth outlook is brighter than the recent past, the analyst also expect CNMC Goldmine Holdings to grow faster than the wider industry.

The Bottom Line

The most important thing to take away from this upgrade is that the analyst upgraded their earnings per share estimates for this year, expecting improving business conditions. They also upgraded their revenue estimates for this year, and sales are expected to grow faster than the wider market. The clear improvement in sentiment should be enough to get most shareholders feeling more optimistic about CNMC Goldmine Holdings' future.