Strategy published on : 06/07/2019 | 04:57
long tradeTarget price hit
Entry price : 86.24€
Target : 95.12€
Stop-loss : 83€
Potential : 10.3%
The medium term support area around 84.08 EUR should allow Solvay shares to re-establish an upward trend in the short term.
Investors have an opportunity to buy the stock and target the € 95.12.
● The company has strong fundamentals. More than 70% of listed companies have a lower mix of growth, profitability, debt and visibility criteria.
● The share is getting closer to its long-term support in weekly data, at EUR 84.08, which offers good timing for buyers.
● Share prices are approaching a strong support area in daily data, which offers good timing for investors.
● The group's high margin levels account for strong profits.
● Historically, the company has been releasing figures that are above expectations.
● The company is one of the best yield companies with high dividend expectations.
● The difference between current prices and the average target price is rather important and implies a significant appreciation potential for the stock.
● 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.
● The technical configuration over the long term remains negative on the weekly chart below the resistance level at 96.38 EUR