Analyst Ratings for China Telecom Corp. Ltd. ADR (CHA)

Updated: 2017-07-27

An average rating of Overweight has been given to China Telecom Corp. Ltd. ADR (NYSE:CHA) by analysts covering the stock. CHA had previously received a consensus rating of Overweight a month ago.

23 analysts issued ratings on the stock, where 15 gave CHA a buy rating, 4 issued an overweight rating, 2 issued a hold rating, 1 issued an underweight rating, and 1 gave a sell rating. Today, there are 3 more analysts optimistic about the company future as compared with 90 days ago. Over the same time period, there has been an increase of 0 in the number of analysts with a negative outlook on the stock.

Several price targets were given for CHA by the analysts covering the stock. The highest price target was 67.9, implying potential capital gains of 41.19 percent. The most pessimistic analyst gave a price target of 42.53, implying a possible loss of -11.56 percent. It is advisable to not rely only on price targets or ratings, as these can be biased for some stocks.

Over the past month, analysts have revised their estimates for this quarter's earnings, with a net average change of 0 percent. This can be compared with the average change in earnings estimates over the past 3 months, which is 0 percent. On the other hand, earnings estimates for the fiscal year have been revised upwards by 0.68 percent, as compared to a month ago. If we look at the last 90 days instead, we find a net average change of 2.68 percent in FY estimates.

Investors like to see analysts making revisions in the same direction, as that raises confidence in the revisions. Over the past month, 0 analysts increased their quarterly estimates, while 0 analysts revised their estimates downwards. During this time, 2 analysts made positive revisions in their estimates for this fiscal year's earnings, while 0 analysts decreased their estimates.

The growth rate of CHA's earnings is estimated by analysts to be 15.86 percent. Another measure frequently examined by investors is the PEG ratio. Investors like to see smaller values for the PEG ratio, because that is often interpreted as the company being fairly priced relative to its growth rate. Wall Street investors typically prefer a PEG ratio to be smaller than 1, though it could be better to see where the ratio stands relative to peers in the industry. The PEG ratio of CHA is 0.94.

CHA has traded between a high of 53.87 and a low of 45.58 over the past year. The current market price is above the trailing year's low by 5.51 percent, and 10.73 percent lower than its 52-week high. CHA has a P/E ratio of 14.9. Investors typically compare the P/E ratio to a company's peers in the industry. The CHA value stock report compares CHA to some of its peers using value stock charts. The market cap of CHA is $38.46 billion. CHA's next earnings release will be on 0000-00-00, which is days away.