Société Générale : The stock needs a breather
Entry price | Target | Stop-loss | Potential |
---|
€48.07 |
€46.09 |
€50.01 |
+4.11% |
---|
Société Générale shares could experience selling pressure following the strong increase in its stock price. Over the short term, the stock in fact displays first signs of exhaustion.
Strengths● Margins returned by the company are among the highest on the stock exchange list. Its core activity clears big profits.
● Its low valuation, with P/E ratio at 11.08 and 9.5 for the ongoing fiscal year and 2018 respectively, makes the stock pretty attractive with regard to earnings multiples.
● The company is one of the best yield companies with high dividend expectations.
● Within the weekly time frame the stock shows a bullish technical configuration above the support level at 39.92 EUR
Weaknesses● The share is close to its long-term resistance in weekly data. Therefore, the potential should be limited. However, a further bullish movement when crossing this resistance will be a positive signal.
● As estimated by analysts, this group is among those businesses with the lowest growth prospects.
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