● The stock, which is currently worth 2020 to 0.31 times its sales, is clearly overvalued in comparison with peers.
● Its low valuation, with P/E ratio at 7.18 and 4.7 for the ongoing fiscal year and 2021 respectively, makes the stock pretty attractive with regard to earnings multiples.
● The difference between current prices and the average target price is rather important and implies a significant appreciation potential for the stock.
Weaknesses
● The company has insufficient levels of profitability.
● Financial statements have repeatedly disappointed market stakeholders. Most often, they were below expectations.
● The company is not the most generous with respect to shareholders' compensation.
● The company's sales previsions for the coming years have been revised downwards, which foreshadows another slowdown in business.
● For the last twelve months, sales expectations have been significantly downgraded, which means that less important sales volumes are expected for the current fiscal year over the previous period.
● Analysts covering the stock have recently lowered their earnings forecast.
● For the last few months, analysts have been revising downwards their earnings forecast.