Volatility should make a big comeback
|Contributor / Partner|
Strategy published on : 07/17/2017 | 14:31
Entry price : 31.67$
Target : 33.9$
Stop-loss : 30.7$
Potential : 7.04%
● 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.
● Growth progress expectations are rather promising. Indeed, sales are expected to rise sharply in the coming years.
● Margins returned by the company are among the highest on the stock exchange list. Its core activity clears big profits.
● The company is in a robust financial situation considering its net cash and margin position.
● Historically, the company has been releasing figures that are above expectations.
● Its low valuation, with P/E ratio at 7.89 and 5.65 for the ongoing fiscal year and 2018 respectively, makes the stock pretty attractive with regard to earnings multiples.
● Growth remains a strong point in this company. In their sales forecast, analysts sound optimistic with regard to sales prospects.
● Over the past year, analysts have regularly revised upwards their sales forecast for the company.
● For several months, analysts have been revising their EPS estimates roughly upwards.
● For the past year, analysts covering the stock have been revising their EPS expectations upwards in a significant manner.
● Analysts covering this company mostly recommend stock overweighting or purchase.
● The average target price set by analysts covering the stock is above current prices and offers a tremendous appreciation potential.
● The stock is in a well-established, long-term rising trend above the technical support level at 23.24 USD
● Technically, the stock approaches a strong medium-term resistance at USD 32.5.
● Prospects from analysts covering the stock are not consistent. Such dispersed sales estimates confirm the poor visibility into the group's activity.
● The firm pays small or no dividend to shareholders. For that reason, it is not a yield company.