Strategy published on : 05/04/2021 | 10:55
Entry price : 863.8GBX
Target : 1030GBX
Stop-loss : 790GBX
Potential : 19.24%
Shares in Fresnillo plc currently show the technical configuration of a trading range. The recently observed decline yields a good timing for new long positions close to the support level.
Investors have an opportunity to buy the stock and target the GBX 1030.
● 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 poor fundamentals for a short-term investment strategy.
● The share is getting closer to its long-term support in weekly data, at GBX 717.4, which offers good timing for buyers.
● The group's activity appears highly profitable thanks to its outperforming net margins.
● Thanks to a sound financial situation, the firm has significant leeway for investment.
● Over the last twelve months, the sales forecast has been frequently revised upwards.
● Over the last seven days, analysts have been revising upwards their EPS estimates for the company.
● For the last twelve months, analysts have been gradually revising upwards their EPS forecast for the upcoming fiscal year.
● The average target price set by analysts covering the stock is above current prices and offers a tremendous appreciation potential.
● According to forecast, a sluggish sales growth is expected for the next fiscal years.
● Sales estimates for the next fiscal years vary from one analyst to another. This clearly highlights a lack of visibility into the company's future activity.
● For the last four months, the sales outlook for the coming years has been revised downwards. No recovery of the group's activities is yet foreseen.
● For the last four months, EPS estimates made by Standard & Poor's analysts have been revised downwards.