● The company has strong fundamentals. More than 70% of companies have a lower mix of growth, profitability, debt and visibility.
● Overall, and from a short-term perspective, the company presents an interesting fundamental situation.
Strengths
● The company's earnings per share (EPS) are expected to grow significantly over the next few years according to the consensus of analysts covering the stock.
● With a P/E ratio at 14.84 for the current year and 11.48 for next year, earnings multiples are highly attractive compared with competitors.
● The company shows low valuation levels, with an enterprise value at 0.63 times its sales.
● Over the last twelve months, the sales forecast has been frequently revised upwards.
● The group usually releases upbeat results with huge surprise rates.
Weaknesses
● The company's profitability before interest, taxes, depreciation and amortization characterizes fragile margins.
● The valuation of the company is particularly high given the cash flows generated by its activity.
● The average price target of analysts who are interested in the stock has been significantly revised downwards over the last four months.
● The average consensus view of analysts covering the stock has deteriorated over the past four months.