● 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.
Strengths
● The group's high margin levels account for strong profits.
● The company is in a robust financial situation considering its net cash and margin position.
● 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.
● Historically, the company has been releasing figures that are above expectations.
● Analysts have consistently raised their revenue expectations for the company, which provides good prospects for the current and next years in terms of revenue growth.
● Over the past year, analysts have regularly revised upwards their sales forecast for the company.
● Within the weekly time frame the stock shows a bullish technical configuration above the support level at 250.3 SEK
Weaknesses
● The stock is close to a major daily resistance at SEK 301.8, which should be gotten rid of so as to gain new appreciation potential.
● With an enterprise value anticipated at 3.69 times the sales for the current fiscal year, the company turns out to be overvalued.
● The appreciation potential seems limited due to the average target prices set by the analysts covering the stock.