Valmet Oyj : A technical turn-around configuration
| Entry price | Target | Stop-loss | Potential |
|---|
|
€17.43 |
€20.66 |
€15.4 |
+18.53% |
|---|
Shares in Valmet reflect an interesting technical chart pattern allowing for a bet on a reversal of the medium term trend.
Summary● The company has strong fundamentals. More than 70% of listed companies have a lower mix of growth, profitability, debt and visibility criteria.
● In a short-term perspective, the company has interesting fundamentals.
● The share is getting closer to its long-term support in weekly data, at EUR 15.44, which offers good timing for buyers.
● Graphically speaking, the timing seems perfect for purchasing the stock close to the EUR 15.44 support.
● The stock, which is currently worth 2019 to 0.69 times its sales, is clearly overvalued in comparison with peers.
● Over the past year, analysts have regularly revised upwards their sales forecast for the company.
● For the last twelve months, analysts have been gradually revising upwards their EPS forecast for the upcoming fiscal year.
● The difference between current prices and the average target price is rather important and implies a significant appreciation potential for the stock.
● The technical configuration over the long term remains negative on the weekly chart below the resistance level at 20.66 EUR
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VALMET OYJ 
