● The company has strong fundamentals. More than 70% of companies have a lower mix of growth, profitability, debt and visibility.
Strengths
● The company is in a robust financial situation considering its net cash and margin position.
● Its low valuation, with P/E ratio at 7.47 and 6.71 for the ongoing fiscal year and 2022 respectively, makes the stock pretty attractive with regard to earnings multiples.
● The company shows low valuation levels, with an enterprise value at 0.44 times its sales.
● The company's share price in relation to its net book value makes it look relatively cheap.
● Given the positive cash flows generated by its business, the company's valuation level is an asset.
● For the past year, analysts covering the stock have been revising their EPS expectations upwards in a significant manner.
● The average target price set by analysts covering the stock is above current prices and offers a tremendous appreciation potential.
● The opinion of analysts covering the stock has improved over the past four months.
● Analysts' price targets are all relatively close, reflecting good visibility on the company's valuation.
Weaknesses
● The potential for earnings per share (EPS) growth in the coming years appears limited according to current analyst estimates.
● Revenue estimates are regularly revised downwards for the current and coming years.
● For the last few months, analysts have been revising downwards their earnings forecast.
● Over the past twelve months, analysts' opinions have been revised negatively.