Strategy published on : 08/14/2019 | 03:14
Entry price : 2.98€
Target : 3.5€
Stop-loss : 2.79€
Potential : 17.45%
There has been very little movement in Maurel & Prom's share price. This situation is bound to change. An exit on the upside out of the current trading range should go with a comeback in volatility. Therefore, the timing for new long positions seems good.
Investors have an opportunity to buy the stock and target the € 3.5.
● The company has poor fundamentals for a short-term investment strategy.
● The share is getting closer to its long-term support in weekly data, at EUR 2.84, which offers good timing for buyers.
● Its core activity has a significant growth potential and sales are expected to surge, according to Standard & Poor's' forecast. Indeed, those may increase by 46% by 2021.
● Analysts have a positive opinion on this stock. Average consensus recommends overweighting or purchasing the stock.
● The difference between current prices and the average target price is rather important and implies a significant appreciation potential for the stock.
● Prospects from analysts covering the stock are not consistent. Such dispersed sales estimates confirm the poor visibility into the group's activity.
● The company's earnings releases usually do not meet expectations.
● The company's sales previsions for the coming years have been revised downwards, which foreshadows another slowdown in business.
● For the last four months, earnings estimated by analysts have been revised downwards with respect to the next two years.
● The underlying tendency is negative on the weekly chart below the resistance at 4 EUR