Strategy published on : 06/11/2019 | 03:50
Entry price : 36.76€
Target : 40€
Stop-loss : 33.9€
Potential : 8.81%
The recent downward movement has sent Faurecia shares back to attractive levels situated around 33 EUR. This zone could put an end to the downward movement and offers a good timing for new long positions.
Investors have an opportunity to buy the stock and target the € 40.
● 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 31.01 EUR in weekly data.
● The close medium term support offers good timing for purchasing the stock.
● The stock, which is currently worth 2019 to 0.35 times its sales, is clearly overvalued in comparison with peers.
● The equity is one of the most attractive in the market with regard to earnings multiple-based valuation.
● This company will be of major interest to investors in search of a high dividend stock.
● The difference between current prices and the average target price is rather important and implies a significant appreciation potential for the stock.