Strategy published on : 09/06/2019 | 03:49
Entry price : 15.12€
Target : 16.6€
Stop-loss : 14.5€
Potential : 9.79%
Danieli & C Officine Meccaniche S.p.A. shares are closing back in on major support levels around 14.66 EUR based on daily price data, which could offer attractive entry points.
Investors have an opportunity to buy the stock and target the € 16.6.
● 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 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 14.66 EUR in weekly data.
● The close medium term support offers good timing for purchasing the stock.
● Thanks to a sound financial situation, the firm has significant leeway for investment.
● The company shows low valuation levels, with an enterprise value at 0.1 times its sales.
● The average target price set by analysts covering the stock is above current prices and offers a tremendous appreciation potential.
● The company does not generate enough profits, which is an alarming weak point.
● The company's earnings releases usually do not meet expectations.
● The company is not the most generous with respect to shareholders' compensation.
● 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.
● The technical configuration over the long term remains negative on the weekly chart below the resistance level at 18.34 EUR