Strategy published on : 03/15/2019 | 04:05
Entry price : 91.3€
Target : 105€
Stop-loss : 84€
Potential : 15.01%
The technical chart pattern of Arkema shares shows signs of a medium term reversal, which speaks in favor of opening new long positions.
Investors have an opportunity to buy the stock and target the € 105.
● The company has strong fundamentals. More than 70% of listed companies have a lower mix of growth, profitability, debt and visibility criteria.
● The company has solid fundamentals for a short-term investment strategy.
● The company returns high margins, thereby supporting business profitability.
● The group usually releases upbeat results with huge surprise rates.
● As regards fundamentals, the enterprise value to sales ratio is at 0.9 for the current period. Therefore, the company is undervalued.
● The company's attractive earnings multiples are brought to light by a P/E ratio at 10.91 for the current year.
● The average target price set by analysts covering the stock is above current prices and offers a tremendous appreciation potential.
● 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.
● According to forecast, a sluggish sales growth is expected for the next fiscal years.
● The technical configuration over the long term remains negative on the weekly chart below the resistance level at 91.06 EUR