A long term support level to be taken advantage of
|Contributor / Partner|
Strategy published on : 03/09/2018 | 15:20
Entry price : 25.4$
Target : 29.9$
Stop-loss : 22.7$
Potential : 17.72%
● 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 solid fundamentals for a short-term investment strategy.
● The share is getting closer to its long-term support in weekly data, at USD 23.97, which offers good timing for buyers.
● Share prices are approaching a strong support area in daily data, which offers good timing for investors.
● According to sales estimates from analysts polled by Thomson-Reuters, the company is among the best with regard to growth.
● The company is in a robust financial situation considering its net cash and margin position.
● Its low valuation, with P/E ratio at 8.67 and 5.47 for the ongoing fiscal year and 2019 respectively, makes the stock pretty attractive with regard to earnings multiples.
● Upward revisions of sales forecast reflect a renewed optimism among the analysts covering the stock.
● Over the past year, analysts have regularly revised upwards their sales forecast for the company.
● For the last week, the earnings per share forecast has been revised upwards. According to recent estimates, analysts give a positive overview of the stock
● For the past twelve months, EPS forecast has been revised upwards.
● For the past year, analysts covering the stock have been revising their EPS expectations upwards in a significant manner.
● Analysts have a positive opinion on this stock. Average consensus recommends overweighting or purchasing the stock.
● The difference between current prices and the average target price is rather important and implies a significant appreciation potential for the stock.
● 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.
● Below the resistance at 29.34 USD, the stock shows a negative configuration when looking looking at the weekly chart.