● 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 EBITDA/Sales ratio is relatively high and results in high margins before depreciation, amortization and taxes.
● Given the positive cash flows generated by its business, the company's valuation level is an asset.
● Over the last twelve months, the sales forecast has been frequently revised upwards.
● Upward revisions of sales forecast reflect a renewed optimism among the analysts covering the stock.
● For the last twelve months, analysts have been gradually revising upwards their EPS forecast for the upcoming fiscal year.
● For the last 4 months, the company has been enjoying highly positive EPS revisions, which were frequently and significantly raised.
● Analysts covering this company mostly recommend stock overweighting or purchase.
● Over the past four months, analysts' average price target has been revised upwards significantly.
● The opinion of analysts covering the stock has improved over the past four months.
● Over the past twelve months, analysts' opinions have been strongly revised upwards.
Weaknesses
● The company's currently anticipated earnings per share (EPS) growth for the next few years is a notable weakness.
● The group shows a rather high level of debt in proportion to its EBITDA.
● In relation to the value of its tangible assets, the company's valuation appears relatively high.
● The firm pays small or no dividend to shareholders. For that reason, it is not a yield company.
● 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.
● The group usually releases earnings worse than estimated.