● The company has strong fundamentals. More than 70% of companies have a lower mix of growth, profitability, debt and visibility.
Strengths
● Before interest, taxes, depreciation and amortization, the company's margins are particularly high.
● Margins returned by the company are among the highest on the stock exchange list. Its core activity clears big profits.
● Thanks to a sound financial situation, the firm has significant leeway for investment.
● The equity is one of the most attractive in the market with regard to earnings multiple-based valuation.
● With regards to fundamentals, the enterprise value to sales ratio is at 1.23 for the current period. Therefore, the company is undervalued.
● Given the positive cash flows generated by its business, the company's valuation level is an asset.
● Over the past year, analysts have regularly revised upwards their sales forecast for the company.
● For the past year, analysts covering the stock have been revising their EPS expectations upwards in a significant manner.
● The difference between current prices and the average target price is rather important and implies a significant appreciation potential for the stock.
● The opinion of analysts covering the stock has improved over the past four months.
● Historically, the company has been releasing figures that are above expectations.
Weaknesses
● As estimated by analysts, this group is among those businesses with the lowest growth prospects.
● The company's earnings growth outlook lacks momentum and is a weakness.
● The firm pays small or no dividend to shareholders. For that reason, it is not a yield company.
● For the last few months, analysts have been revising downwards their earnings forecast.
● The average price target of analysts who are interested in the stock has been significantly revised downwards over the last four months.
● Prospects from analysts covering the stock are not consistent. Such dispersed sales estimates confirm the poor visibility into the group's activity.
● The price targets of various analysts who make up the consensus differ significantly. This reflects different assessments and/or a difficulty in valuing the company.