Strategy published on : 05/22/2020 | 02:36
long trade on a pullbackOn stand-by
Entry price : 48€
Target : 56€
Stop-loss : 44€
Cancellation Level : 55€
Potential : 16.67%
Colruyt NV have been fluctuating horizontally for several weeks. As the share price returns to the lower bound of the accumulation zone, it yoffers a good timing for investors to open new long positions.
Investors should buy the stock at current prices near € 48 in order to target the € 56.
● 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.
● Considering the small differences between the analysts' various estimates, the group's business visibility is good.
● Historically, the company has been releasing figures that are above expectations.
● The company has attractive valuation levels with a low EV/sales ratio compared with its peers.
● For the last twelve months, analysts have been gradually revising upwards their EPS forecast for the upcoming fiscal year.
● The stock is in a well-established, long-term rising trend above the technical support level at 48.3 EUR
● Most analysts recommend that the stock should be sold or reduced.
● The appreciation potential seems limited due to the average target prices set by the analysts covering the stock.