The company has strong fundamentals. More than 70% of companies have a lower mix of growth, profitability, debt and visibility.
From a short-term investment perspective, the company presents a deteriorated fundamental situation
Strengths
Its core activity has a significant growth potential and sales are expected to surge, according to Standard & Poor's' forecast. Indeed, those may increase by 63% by 2026.
The earnings growth currently anticipated by analysts for the coming years is particularly strong.
The company's EBITDA/Sales ratio is relatively high and results in high margins before depreciation, amortization and taxes.
The group's high margin levels account for strong profits.
Thanks to a sound financial situation, the firm has significant leeway for investment.
Over the past year, analysts have regularly revised upwards their sales forecast for the company.
Growth remains a strong point in this company. In their sales forecast, analysts sound optimistic with regard to sales prospects.
Analysts have a positive opinion on this stock. Average consensus recommends overweighting or purchasing the stock.
The average target price set by analysts covering the stock is above current prices and offers a tremendous appreciation potential.
Over the past four months, analysts' average price target has been revised upwards significantly.
Predictions on business development from analysts polled by Standard & Poor's are tight. This results from either a good visibility into core activities or accurate earnings releases.
Weaknesses
The company's valuation in terms of earnings multiples is rather high. Indeed, the firm is getting paid 44.37 times its estimated earnings per share for the ongoing year.
The company's "enterprise value to sales" ratio is among the highest in the world.
In relation to the value of its tangible assets, the company's valuation appears relatively high.
The valuation of the company is particularly high given the cash flows generated by its activity.
For the last four months, earnings estimated by analysts have been revised downwards with respect to the next two years.