Strategy published on : 05/14/2019 | 03:05
Entry price : 68.08€
Target : 78€
Stop-loss : 62.7€
Potential : 14.57%
Pursuant to the correction that has taken place in recent weeks with respect to the shares in AtoS, further downside risk now appears limited by close and important technical support levels at 66.3 EUR.
Investors have an opportunity to buy the stock and target the € 78.
● The company has strong fundamentals. More than 70% of listed companies have a lower mix of growth, profitability, debt and visibility criteria.
● The current area is a good opportunity for investors interested in buying the stock in a mid or long-term perspective. Indeed, the share is moving closer to its lower bound at EUR 54.08 EUR in weekly data.
● The close medium term support offers good timing for purchasing the stock.
● As regards fundamentals, the enterprise value to sales ratio is at 0.7 for the current period. Therefore, the company is undervalued.
● With a P/E ratio at 10.49 for the current year and 9.32 for next year, earnings multiples are highly attractive compared with competitors.
● Over the last twelve months, the sales forecast has been frequently revised upwards.
● 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.
● Analysts covering the stock have recently lowered their earnings forecast.
● For the last four months, EPS estimates made by Thomson-Reuters analysts have been revised downwards.
● For the last 12 months, analysts have been regularly downgrading their EPS expectations. Analysts predict worse results for the company against their predictions a year ago.