Strategy published on : 07/17/2017 | 09:22
long tradeStop-loss triggered
Entry price : 114.95€
Target : 118€
Stop-loss : 112.95€
Potential : 2.65%
From a horizontal accumulation phase, the timing seems good to buy shares in Bechtle AG and to get ahead of a break-out on the upside of the congestion area.
Investors have an opportunity to buy the stock and target the € 118.
● The company has strong fundamentals. More than 70% of listed companies have a lower mix of growth, profitability, debt and visibility criteria.
● In a short-term perspective, the company has interesting fundamentals.
● Predictions on business development from analysts polled by Thomson-Reuters are tight. This results from either a good visibility into core activities or accurate earnings releases.
● The stock, which is currently worth 2017 to 0.68 times its sales, is clearly overvalued in comparison with peers.
● Sales forecast by analysts have been recently revised upwards.
● Within the weekly time frame the stock shows a bullish technical configuration above the support level at 100.25 EUR
● Stock prices approach a strong long-term resistance in weekly data at EUR 115.65.
● The stock is currently in contact with a medium-term resistance that must be gotten rid of so as to resume the upward trend.
● The appreciation potential seems limited due to the average target prices set by the analysts covering the stock.